What do you think would happen if all the depositors went to ask for their money at the same time??
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Answered by
7
They would not be able to get their entire amont of money at the same time as bank is allowed to keep a specific amount of money which is fixed by the govt
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11
Hey mate!!!
Here's your answer...
It will lead to a complete collapse of the financial system. A situation where all depositors or most of the depositors want to withdraw their deposits from the bank at the same time would lead to a bank run. ... It arises mainly due to rumours that the bank may become insolvent and default on payments.
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Here's your answer...
It will lead to a complete collapse of the financial system. A situation where all depositors or most of the depositors want to withdraw their deposits from the bank at the same time would lead to a bank run. ... It arises mainly due to rumours that the bank may become insolvent and default on payments.
Hope this will help you...
Plz mark it as Brainliest...
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