What are the various sources of income for banks?

Banks generate income from several key sources that are integral to their overall business model. One primary source is loan payments, where banks earn interest from borrowers who take out loans for various purposes, such as purchasing homes, cars, or financing businesses. This interest forms a significant part of a bank's revenue stream.

Another important source of income is from investments. Banks invest in various financial instruments, such as government and corporate bonds, stocks, and other assets. The returns from these investments contribute to the bank's profits.

Additionally, banks charge fees for various services, such as account maintenance, ATM usage, overdraft protection, wire transfers, and other transaction fees. These fees provide another layer of income and are crucial for covering operating costs.

Collectively, these three sources—investments, loan payments, and fees for services—constitute the primary ways banks earn revenue, making this the correct answer. The other options provided do not encompass the full breadth of income sources that banks utilize to sustain and grow their operations.