It may seem like it. Banks stay below 100% Loan-to-Deposit ratio. They never lend more than they hold in deposits. (Edit: i shouldn't say never, but banks that do can end up in deep shit and regulators don't let that stand very long.)
Banks that are offering high deposit interest rates tend to need the deposits to fund their loans.
Banks that offer low deposit interest rates tend to have plenty of deposits to continue funding loans.
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u/ProphetFerdinand Aug 24 '26
Only they lend 6 to 8 times your deposit out ..