Loan-to-Deposit Ratio (LDR)

Loan-to-Deposit Ratio (LDR),

How To Define Loan-to-Deposit Ratio (LDR)?

  1. The Free Deposit Index (LDR) is used to estimate a bank's liquidity by comparing total bank loans with total bank deposits over the same period. LDR is expressed as one percent. If the ratio is too high, the bank will not have enough liquidity to meet unexpected financing needs. On the other hand, if the interest rate is too low, the bank may not earn as much.

    • The Free Deposit Index is used to estimate a bank's liquidity by comparing total bank loans with total bank deposits over the same period.
    • To calculate the interest rate for rental deposits, divide the total amount of bank loans by the total reserves for the same period.
    • The ideal rental amount is usually 80% to 90%. A 100 deposit deposit to loan ratio means that the bank has lent the customer one dollar for every dollar received for the deposit made.

Literal Meanings of Loan-to-Deposit Ratio (LDR)


Meanings of Loan:
  1. Some loans, especially money that must be repaid with interest.

  2. Debt (cash or assets)

  3. Narrow streets or paths, especially those leading to open spaces

Sentences of Loan
  1. The borrower can apply for a loan of 84 84,000

  2. The word processing program was taken from the theater

Synonyms of Loan

advance, credit, allow, give credit, lend


Meanings of To:
  1. Towards express movement (specific location).

  2. Identify the person or thing in question.

  3. Anxious or troubled (something, especially a summary)

  4. It is used with the root form of the verb to indicate that the verb is ineffective.

  5. When the missing verb is clearly understood, it is used without the following verb.

Sentences of To
  1. He left his bicycle on the fence

  2. He asked her to come, but she said she didn't want to

Synonyms of To

toward, so as to approach, fastened, firmly fixed, in the direction of, secured, secure, so as to near, to, tight


Meanings of Deposit:
  1. Usually the amount deposited in a bank account or the amount deposited to earn interest.

  2. The amount to be paid in the first installment at the time of purchase or as a guarantee of the contract, with the rest later.

  3. A layer or body of accumulated matter.

  4. The process of putting something in a special place.

  5. Usually unofficially place (something or someone) in a special place or leave.

  6. Save it or ask someone to take care of it

Sentences of Deposit
  1. Money that is a substitute for bank or real estate deposits

  2. We save a lot to submit houses

  3. Chrome salt deposits

  4. Saving a work in a library does not guarantee copyright protection

  5. Place a stack of books on the kitchen table

  6. Safe where customers can keep valuables

Synonyms of Deposit

settle, unload, place, instalment, lay, security, accumulation, set down, down payment, rest, set, pledge, sit, put, lay down, sublimate, sediment, prepayment, advance payment, put down, retainer, stake, part payment


Meanings of Ratio:
  1. A quantitative relationship between two quantities that indicates how many times one value contains another or is present in another.

Sentences of Ratio
  1. The employment rate for men and women is 8 to 1

Synonyms of Ratio

comparative extent, relationship, proportion, quantitative relation, comparative number, correlation, balance, correspondence


Meanings of LDR:
  1. Distance relationship