Yes and no. The US banking system uses a pretty complicated maze to spread risks. Banks help you organize a bond sale/auction, then "investors" buy your bonds (usually it goes for lower than nominal price .. but sometimes not http://www.livemint.com/Money/sM11Y0RuGHmvUiGFVgNecL/Corpora... ), and then other banks and institutions buy your bond (invest in it).