Banks have the legal obligation to return funds held in demand deposits immediately upon demand or 'at call'. In a direct auto loan, a bank lends the money directly to a consumer. In the Western world, a prevalent term for coin-money has been speciestemming from Latin in speciemeaning 'in kind'. Money is the most liquid asset because it is universally recognised and accepted as the common currency. Instead, demand loans carry a floating interest rate which varies according to the prime lending rate or other defined contract terms. Modern day monetary systems are based on fiat money and are no longer tied to the value of gold.
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