alt Hacker News>> People just give them money as a business model.
You dont actually give them money...you loan them money when you do a deposit. That is why they pay you interest, and that comes with the risk of loans to another party.
A little detail they are happy to omit and they are happy to let people talk about: "I have money in the bank", that you of course ...dont have.
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The interest rate banks pay you has been 0% since before covid
isnt it the opposite in parts of the EU? you pay interest on the deposit
I don’t know of any bank that hides the fact they lend out money. Most pretty actively advertise it.
Well, you're probably going to be very disappointed when you learn how money works in general these days.
Hint: Gold has no more to do with it than any other commodity does. Ditto with petroleum.
At least in the US most banks are FDIC insured so your first $250k or so in deposits are secured by the government.
There's no real risk involved.