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JPMorgan ChaseLesson 1 of 4

Part 1 of 3, 0 done
$BANK$%$%

2025 report · 9 min

How banks make money

A bank pays you a little to hold your money and lends it out for more. We'll follow one bank, JPMorgan Chase, to see how that gap became $57Bsec.gov ·2025 of profit in a year.

Ticket 01 · The guess

What does a deposit cost the bank?

JPMorgan Chase is the bank behind the Chase branches: 5,083 of them, serving 86.6 millionsec.gov ·2025 people. It's one bank, standing in for all of them in this lesson.

In 2025 its loans paid it 6.72%sec.gov ·2025 a year on average. What do you think it paid, on average, on the money in its customers' deposit accounts? Count every account: checking accounts (everyday accounts for paying bills), savings and business accounts.

5%
0%7%
Words to know

Spot something wrong?

Tell us what looks off. No name or email needed.

What kind of problem?

0 / 1000

We'll also send this page, the lesson, ticket 1, so we can find it. Nothing else. Privacy

·
Sources and every number (2)

Sources

  • JPMorgan Chase & Co. Form 10-K for the fiscal year ended December 31, 2025 · JPMorgan Chase & Co. (filed with the U.S. SEC), 2025
  • Understanding Deposit Insurance · Federal Deposit Insurance Corporation (FDIC), 2026

Every number

  • $95.4Bsec.gov ·2025 · Net interest income, 2025 (income statement).
  • $57Bsec.gov ·2025 · Net income, 2025 (income statement).
  • 6.72%sec.gov ·2025 · Average rate earned on loans, 2025 (consolidated average balance sheets, interest and rates).
  • 1.8%sec.gov ·2025 · Worked out: interest paid on interest-bearing deposits divided by all average deposits, including those that pay no interest, 2025 (consolidated average balance sheets, interest and rates).
  • 2.37%sec.gov ·2025 · Average rate paid on interest-bearing deposits, 2025 (consolidated average balance sheets, interest and rates).
  • $604.2Bsec.gov ·2025 · Average noninterest-bearing deposits, 2025 (consolidated average balance sheets, interest and rates).
  • 5,083sec.gov ·2025 · Branches at the end of 2025 (Consumer & Community Banking business metrics).
  • 86.6 millionsec.gov ·2025 · Consumer customers of Consumer & Community Banking at the end of 2025.
  • $250,000fdic.gov ·2026 · Standard deposit insurance per depositor, per FDIC-insured bank, for each account ownership category.
  1. Lessons›
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  • ·Next: How JPMorgan is organized
  • ·Free guide: How banks make money
Skip to the lesson

JPMorgan ChaseLesson 1 of 4

Part 1 of 3, 0 done
$BANK$%$%

2025 report · 9 min

How banks make money

A bank pays you a little to hold your money and lends it out for more. We'll follow one bank, JPMorgan Chase, to see how that gap became $57Bsec.gov ·2025 of profit in a year.

Ticket 01 · The guess

What does a deposit cost the bank?

JPMorgan Chase is the bank behind the Chase branches: 5,083 of them, serving 86.6 millionsec.gov ·2025 people. It's one bank, standing in for all of them in this lesson.

In 2025 its loans paid it 6.72%sec.gov ·2025 a year on average. What do you think it paid, on average, on the money in its customers' deposit accounts? Count every account: checking accounts (everyday accounts for paying bills), savings and business accounts.

5%
0%7%
Words to know

Spot something wrong?

Tell us what looks off. No name or email needed.

What kind of problem?

0 / 1000

We'll also send this page, the lesson, ticket 1, so we can find it. Nothing else. Privacy

·
Sources and every number (2)

Sources

  • JPMorgan Chase & Co. Form 10-K for the fiscal year ended December 31, 2025 · JPMorgan Chase & Co. (filed with the U.S. SEC), 2025
  • Understanding Deposit Insurance · Federal Deposit Insurance Corporation (FDIC), 2026

Every number

  • $95.4Bsec.gov ·2025 · Net interest income, 2025 (income statement).
  • $57Bsec.gov ·2025 · Net income, 2025 (income statement).
  • 6.72%sec.gov ·2025 · Average rate earned on loans, 2025 (consolidated average balance sheets, interest and rates).
  • 1.8%sec.gov ·2025 · Worked out: interest paid on interest-bearing deposits divided by all average deposits, including those that pay no interest, 2025 (consolidated average balance sheets, interest and rates).
  • 2.37%sec.gov ·2025 · Average rate paid on interest-bearing deposits, 2025 (consolidated average balance sheets, interest and rates).
  • $604.2Bsec.gov ·2025 · Average noninterest-bearing deposits, 2025 (consolidated average balance sheets, interest and rates).
  • 5,083sec.gov ·2025 · Branches at the end of 2025 (Consumer & Community Banking business metrics).
  • 86.6 millionsec.gov ·2025 · Consumer customers of Consumer & Community Banking at the end of 2025.
  • $250,000fdic.gov ·2026 · Standard deposit insurance per depositor, per FDIC-insured bank, for each account ownership category.
  1. Lessons›
  2. Big companies›
  3. Banks
  • ·Next: How JPMorgan is organized
  • ·Free guide: How banks make money