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rate sensitive funding sources at a bank are termed core deposits. true or false

rate sensitive funding sources at a bank are termed core deposits.
true or false

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Answer #1

Answer- True.

Core deposits are the backbone of any bank. They are also known as stable source of fund. It includes saving account, certificates of deposits etc.Rate senstive funding sources of the bank includes liabilities of the bank which include deposits. These are senstive to get changed due to interest rates.

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