MONEY, BANKS AND A BIG SECRET
W hen we do online shopping.. We select our preferences, the website or mobile app shows us the products matching our choice. It always shows the products which are in its inventory, which already exist. Otherwise it shows OUT OF STOCK . Logical , isn't it !! We get showed what's available. But why don't we use the same logic and question the banks. Whenever anyone applies for a loan, how many times the banks have said - " Sorry, today we are out of stock " If we have all the available documents and bank is satisfied, the bank will give us a loan. Has any bank ever denied a loan to anyone saying that we are out of stock !! Never.. Logically, the amount of loan a bank can lend should always be equal to the money deposited in the bank. But it's not true . Imagine, I go to a bank and apply for a loan of say, Rs. 1 lakh and after reviewing my documents the bank agrees to grant me a loan. Suppose suddenly one of its depositors withdraws Rs. 5 lakhs from the b...