Is it illegal for banks to charge higher interest rates for loans than they pay depositors?

nope

Is it illegal for banks to charge higher interest rates for loans than they pay depositors?business loan

Yes it is in Texas

Is it illegal for banks to charge higher interest rates for loans than they pay depositors? loan

No that is how banks make money.... well one of the ways.

If they paid out as much as they brought in they could never make money.

EDIT:

No it is not in Texas either.|||No. This is how they make their money. They charge more to lend the money and pay the depositors less. If they didn%26#039;t, then there wouldn%26#039;t be any money to pay depositors in the first place.

Then there is also the amount banks charge each other for lending money, or buying loans.|||No. This is how banks earn money. There wouldn%26#039;t be any banks at all if they were not allowed to earn a profit. Also, banks have a lot of expenses, such as for building space, advertising, employees, utilities, bad loans, etc.

If you think banks charge a lot of interest, you should look at how much money the payday lenders charge. It is outrageous and it%26#039;s legal.

Good luck.|||Illegal?

It%26#039;s not only legal, but required to stay in business.

Banks, like every business, are in the business to make a profit for their shareholders. If banks charged the same interest for loans as they do deposits, they would not be in business for very long.|||I won%26#039;t get into the whole federal reserve Reserve Requirment but if they loaned money out at the same rate they paid depositors, they would lose about 10% of the interest rate they are paying depositors|||no, deposit + bank profit =loan