How do banks have so much money to process all there CC transactions?

Question

Every time people use their credit cards, the bank has to send the money to the merchant at some point. Most people pay their CCs at some point but while the banks wait for that, how are they able to credit the merchant?

In: 1

Answer 1

They arent operating “paycheck to paycheck” like many people do. Simply they have more than enough to cover your charges until you pay