Money center banks rely more heavily on wholesale and borrowed funds as sources of liability funding than do community banks.

Question

Quizplus · Accepted Answer

This is because money center banks have larger operations and more complex transactions, requiring larger amounts of funding, which they often obtain through wholesale and borrowed funds. Community banks, on the other hand, rely more on deposits from local customers as a source of funding.

Money Center Banks Rely More Heavily on Wholesale and Borrowed