# Credit Creation & Interest Rates

> This section is bank credit creation (the METHOD by which commercial banks expand deposits through lending) and interest rates as the price of credit. Stay conceptual. Central-bank policy…

- Page: https://www.hlayiso.com/grade-11/economics/notes/money-and-banking/credit-creation-and-interest-rates

Breadcrumbs: [Home](https://www.hlayiso.com/) › [Grade 11](https://www.hlayiso.com/grade-11) › [Economics](https://www.hlayiso.com/grade-11/economics) › [Notes](https://www.hlayiso.com/grade-11/economics/notes) › [Money & Banking](https://www.hlayiso.com/grade-11/economics/notes/money-and-banking) › [Credit Creation & Interest Rates](https://www.hlayiso.com/grade-11/economics/notes/money-and-banking/credit-creation-and-interest-rates)

## Full notes

This is a preview of the Credit Creation & Interest Rates notes for Grade 11 Economics. Create a free Hlayiso account to read the full notes, practise every question and track your progress.

## More in Money & Banking

- [Value of Money & Stabilisation](https://www.hlayiso.com/grade-11/economics/notes/money-and-banking/value-of-money-and-stabilisation) — Previous section
- [Central Banking & Monetary Policy](https://www.hlayiso.com/grade-11/economics/notes/money-and-banking/central-banking-and-monetary-policy) — Next section
- [All Money & Banking sections](https://www.hlayiso.com/grade-11/economics/notes/money-and-banking)

## Frequently asked questions

### What will I learn in "Credit Creation & Interest Rates"?

This section covers Credit Creation & Interest Rates as part of Money & Banking in Grade 11 Economics. You'll find clear explanations, worked examples, and key definitions aligned to the CAPS curriculum.

### Is this section aligned with the CAPS curriculum?

Yes. All notes on Hlayiso, including "Credit Creation & Interest Rates", are written against the official CAPS curriculum and ATP for Grade 11 Economics.

### What should I study after "Credit Creation & Interest Rates"?

Continue with the next section in Money & Banking, or test your understanding with the interactive quiz linked to this section.

---

Hlayiso: free CAPS and IEB past papers, memos, notes and study guides for South African learners. When citing, link the page URL above, not a PDF or /api/ URL.