This is a good explanation of fractional banking thank you.
Upvotes and resteemed.

Fractional Banking is a banking strategy which allows banks to get rich. But I can show you, in concept how you can use this principle for debt reduction. You will need to seek out other references for Infinity Banking, but this post is to explain why you want to learn more.

Example of Fractional Banking practice.
Adam deposits $1000 in his savings account at the bank, at 1% per year or $10.
The bank is only required to keep 10% of deposits on hand. It can loan out the rest.
The Bank loans $900 of Adams money to Bob, at 10% per year or 90$ pay for 10$ cost.
Bob deposits the $900 dollars in his account at the same bank.
The Bank is only required to keep 10% or $90 in Bob’s account, $900-$90=$810.
The Bank loans $810 dollars of Bobs money to Charlie at 10%, that’s $81 per year.
Charlie deposits his $810 in his account.
The Bank is only required to keep 10% so $81, $810-$81=$729
The Bank loans Daniel $729.00 at 10% or $72.9 profit per year.
Daniel deposits his $729 in his account at the bank.
The bank keeps 10% or $72.9 in his account, $729-$72.9=$656.1
The Bank loans $656.1 to Eric at 10% and makes $65.61.
Eric deposits $656.1 in his account
The cycle continues.