LPD, in banking, refers to a financial institution that functions by accepting deposits and then lending these funds to the public as credit.
Essentially, an LPD operates by:
- Collecting Deposits: Gathering money from individuals and businesses.
- Distributing Credit: Lending these collected funds to borrowers.
According to the provided reference, LPD is a financial institution that carries out financial functions by collecting deposits and distributing these funds as credit to the public. This highlights the core purpose of an LPD: channeling funds from savers to borrowers.
