Question

what is the main source of income of the bank

Answer 1

interest on loans

interest on investment

Answer 2

The main source of income of the bank is income from interest.

• The primary way by which banks make an income is the income from interest.
• The depositors keep their money in banks for safety. In return, depositors are compensated with some interest rate and some security funds by the bank.
• Also, the bank lends money to the borrowers. The borrowers then have to pay a interest rate when giving back the money to the bank.