[AndyJackson]

Banks do not need to have anything to open a loan.

Good luck with that! LOL!

[JasonC]

It is perfectly true. Someone needs to be willing to accept its IOUs, that is all, and for any bank in good standing is not at all difficult. The real issue, though, is simply will the loan pay? That depends on whether the loan as an asset, earns more or less than the cost of its IOUs as liabilities.