they accept deposits from savers and make loans to people who need it. they provide various services, such as checking accounts and money market transactions, to facilitate capital exchange between savers and people who need it.

They (banks) accept deposits from savers and make loans to people who need funds, acting as financial intermediaries between depositors and borrowers. Banks pool the deposits they receive and lend them out, earning interest from borrowers while paying interest to depositors. They provide various services such as checking accounts, savings accounts, and money market transactions to facilitate capital exchange between savers and borrowers. Additionally, banks handle millions of customer transactions daily, including payments and transfers, which support the smooth functioning of the economy. This intermediation helps efficiently allocate funds, create credit, and maintain liquidity in the market