> with the excess money coming from the central bank.
No, the excess does not come from anywhere. It is created by the act of loaning out. (Or rather, all of the loan amount is created; but it's backed by assets the bank holds.)
No, the excess does not come from anywhere. It is created by the act of loaning out. (Or rather, all of the loan amount is created; but it's backed by assets the bank holds.)
Also why link an article from the UK when the subject is a US bank? There are differences between the two countries banking systems and monetary policies.