Question 4 - Fill in the blanks (MCQ) - Chapter 3 Class 10 Economics - Money and Credit - Economics

Last updated at April 16, 2024 by

Banks charge a higher interest rate on loans than what they offer on _____________.

1. Withdrawal

2. Fixed Deposit

3. Deposits

4. Demand deposit

 

Answer: 

So the correct answer is (C) - Deposits

Explanation

Banks charge more interest rates on loans than they offer on deposits because loans are the main source of income for banks.

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Davneet Singh has done his B.Tech from Indian Institute of Technology, Kanpur. He has been teaching from the past 14 years. He provides courses for Maths, Science, Social Science, Physics, Chemistry, Computer Science at Teachoo.