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A comment on Robinhood launches 3% checking account. Parent comment

Re:Robinhood launches 3% checking account by solaxun on Thursday December 13, 2018 @01:40PM (#18674799)
Why does everyone keep referring to checking accounts as "loss leaders"? They are more like "income leaders" - the banks are funding themselves at basically 0% and then earning the spread on whatever they invest in....
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Re:Robinhood launches 3% checking account by alexhutcheson on Thursday December 13, 2018 @06:20PM (#18677054)
The banks incur lots of operational expenses processing transactions, paying for an ATM network, handling customer support calls, dealing with fraud, etc.
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Re:Robinhood launches 3% checking account by solaxun on Thursday December 13, 2018 @06:36PM (#18677145)
That is nothing compared to interest expense on CD's or other interest bearing accounts. Checking accounts are one of the most attractive sources of funding for banks (notwithstanding maturity mismatch).
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Re:Robinhood launches 3% checking account by delta-neutral on Friday December 14, 2018 @12:04AM (#18678596)
+100%, deposits are the cheapest and most reliable source of funding. no comparison to wholesale funding by a large stretch - anyone ever heard of Northern Rock?
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