Tianliangyuan

Chapter 361 Borrowed 1 guan

Xu Zhaozhao understood Gu Dongyang's purpose and did not make things difficult for him.

"Is the Daxing Bank now under the management of the Ministry of Revenue?"

Gu Dongyang smiled and nodded: "This is just a trial run. If it goes well, it will be gradually rolled out. If Daxing Bank is established throughout Daxing, then it will definitely be listed separately."

Many people have actually thought of this.

Seeing that he wasn't trying to fool her, Xu Zhaozhao became even more direct in her speech.

"Since that's the case, Minister Gu must be here to share the burden of the country. I won't put Minister Gu in a difficult position. If the Daxing Bank ever needs manpower in the future, could you consider the talents recommended by the Xie and Xu families first?"

Gu Dongyang didn't agree immediately; how could he just agree to something like that so easily?

Xu Zhaozhao added, "Minister Gu, rest assured, the people recommended by our two families will be guaranteed to be of good character and have real talent. At the very least, the accounts will be clear and transparent, so as not to cause you any trouble."

Having said that, Gu Dongyang couldn't very well refuse.

"Alright."

"Has the interest rate for loans issued by Daxing Bank been set?"

"It's settled."

Gu Dongyang quickly explained the current loan limits of the bank and the relevant qualifications required.

"Is collateral required, or is a bank loan only required for an identity?"

"Collateral is required. Real estate, shops, farms, jewelry, etc., are all acceptable."

"Very well, now that Minister Gu is here, I will arrange for someone to go to the bank tomorrow. However, what would be a suitable amount?"

Gu Dongyang was extremely grateful.

Princess Anle was so cooperative; he really didn't know what to say.

"Anything under one million strings of cash is acceptable."

"it is good!"

After seeing Gu Dongyang and Fu Pei off, Xu Zhaozhao and Xie Zheng also returned to Jinxiu Garden.

"If you have money in your hands, why do you need to borrow money from the bank?"

"I do not lack money, but that is only on the surface. It is enough for my own expenses, but if I want to do other things, the money is a bit tight. Besides, I am now quite wealthy, and my monthly expenses are not small. Of course, the most important thing is that Minister Gu has come in person, how can I not give him this face?"

Xie Zheng fell silent.

Actually, he was somewhat dissatisfied.

If there are no banks offering loans, why not go to the merchants?

Actually, Xie Zheng really wronged Gu Dongyang.

It's not that he didn't have someone look for them, but the qualifications of these lending banks also need to be verified.

Therefore, so far, no large merchants have come to borrow money, because truly wealthy families don't lack money.

"Zhaozhao, if the bank can only accept deposits and not lend out loans, then it will lose money. Do you think His Majesty will be furious if this is really done?"

Xu Zhaozhao laughed, but Xie Zheng still didn't understand some of the workings behind it.

"The interest rate spread between lending and deposits is inevitable for banks and is the basic source of their profits. In other words, the interest rate spread between deposits and loans is the most important source of revenue for banks, but it is not the only one."

Xie Zheng frowned: "Is there any other way to make money?"

"For example, although this bank is now under the jurisdiction of the Ministry of Revenue, it is not the national treasury, so it should be an independent government agency. If the Ministry of Revenue is in a hurry to spend money, it can also borrow from the bank. It's a government agency to government agency, so interest must be paid."

Xie Zheng raised an eyebrow: "But in the end, it's still about lending money!"

Xu Zhaozhao smiled, her eyes revealing undisguised admiration for him.

The man she set her sights on was indeed intelligent.

"For banks to make stable profits, they must remember to: take small profits but collect large amounts, and lend money safely. This is called internal lending and external circulation. Internal lending means that banks should lend out as much money as possible; external circulation means that banks should try their best to absorb external deposits."

In principle, banks lend out all their cash receipts, while external deposits continuously flow in, which are then lent out again, creating a virtuous cycle and preventing the banks from running out of steam. Therefore, the banks' large turnover and high profits are due to their efficient internal and external operations and meticulous budgeting.

Xie Zheng didn't interrupt, sensing that Xu Zhaozhao had more to say than just that.

"In fact, if a bank can become independent in the future, it can use its money as an investment and put it into some necessary or sure-profit projects."

Xie Zheng couldn't understand.

Xu Zhaozhao sighed. There's still a long way to go before things get any worse.

Let's wait until all the Daxing Bank branches are fully operational before making any decisions.

The next day, Gu Dongyang arranged for Fu Pei to wait personally at the Daxing Bank in Chang'an County, just waiting for the county magistrate of Anle to send someone.

The person who came was an acquaintance, Xu Zhuzi.

"Greetings, Lord Fu. My lord has sent me here to handle the relevant procedures. This is the land deed. My lord's intention is to lend as much money as the bank can lend, with a loan term of one year."

"Okay, Manager Xu, please wait a moment."

After leaving here, Xu Zhuzi went to Daxing Bank in Wannian County.

There can be no favoritism.

They all need loans!

Less than an hour after Xu Zhuzi left Daxing Bank, news spread rapidly that the Anle County Magistrate's businesses had borrowed one million strings of cash from Daxing Bank.

Gu Dongyang was naturally involved in this.

One million strings of cash!

It's almost equivalent to one-third of the national treasury's annual revenue.

This single act emptied the savings of the two Daxing Banks.

Of course, these are just the silver deposits made by ordinary people in the capital. In fact, many wealthy merchants still deposit silver every day.

Xu Zhaozhao's few tips and tricks finally reached Gu Dongyang's ears.

As the Minister of Revenue, he dealt with money and silk all day long, so he naturally understood some of the tricks of the trade.

For the sake of security, the banks in the two counties of Beijing were all located not far from the county government.

After Xu Zhaozhao had so much money, she immediately arranged for people to travel far away.

I still need to buy tea.

This stuff has to be profitable!

Moreover, there are now many varieties of tea in Jiangnan and Sichuan, so there's no need to fixate on Nanzhao.

The trade route to Nanzhao was still being operated by a caravan run by Xu Zhaozhao and Princess Leyang. Xu Zhuzi was young and capable, and Xu Zhaozhao still needed him in the capital, so she arranged for a manager he recommended to go to Sichuan.

Gao Da Kui had been to Jiangnan before and should have some experience, so we let him go. We also asked him to go to Suizhou as well.

Xu Zhaozhao's arrangements were very well organized. Dingxiang was no longer there to help her with these matters, but because Haitang had been promoted, Shaoyao was now mainly responsible for assisting her.

There are many things that Xu Zhaozhao cannot and does not need to do personally, so she needs someone to speak for her.

It used to be lilac, but now it has been replaced by peony.

"Your Majesty, Concubine Song and Miss Seven are waiting outside. They said they came to pay their respects to you."

"Just say I'm busy and tell them to go back."

“My lady, I told them, but they insisted on coming. It seems they have something to ask of you.”

Xu Zhaozhao finally looked up from the tedious accounts: "Are they in a hurry?"