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From course:

Economics A Level (DONEEEEEEE)

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Question:

What are the 3 things that Banks need to achieve a Balance of?

Author: eric_galvao



Answer:

-Profitability, Security and Liquidity -If someone defaults on a Secure Loan (Mortgage) then the Bank can Repossess the House that had been used as a Security, which is Helpful for the Bank -Had it been an Unsecure Loan, then the Bank would completely Lose that Asset


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