People often develop relationship with others. The relationship between people who save money in banks and people who borrow money from bank is that;
- Banks acts as a linkage that is financial intermediaries between them. The banks are known to stand between savers and borrowers.
Who are the savers and borrowers?
Savers are known as people who deposits money or other things with banks, and they also receive interest payments and can withdraw money at any time.
Borrowers are those who receive loans from banks and they they repay the loans with interest. Banks gets their funds from individual depositors via savings, etc.
Learn more about Borrowers from
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