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The behavior of the interbank lending market can provide one with a good appreciation for the liquidity of the banking system as a whole.

Here are ten full tips for negotiating with creditors and collection agencies.

The person on the other end doesn’t want to hear all the details about why you’re not able to pay your bills.

If there is a lot of liquidity in the system (more short term assets than liabilities) the interbank rate will fall, if there is scarcity of short term assets relative to liabilities then rates will rise.

So a rising interbank rate is generally associated with contracting liquidity conditions.

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