From the point of view of bank profitability, the higher the loan-to-deposit ratio, the better, because deposits have to pay interest, which is the so-called cost of capital. If banks have more deposits and less loans, it means high costs, but low returns and poor profitability. Because commercial banks aim at making profits, they will try their best to improve the loan-to-deposit ratio case. From the perspective of bank's anti-risk, the case of loan-to-deposit ratio should not be too high, because banks have to deal with customers' daily cash withdrawal and daily settlement, so it is necessary for banks to keep a certain cash deposit reserve (that is, the bank's deposits in the central bank or commercial banks). If the loan-to-deposit ratio is too high, this part of the funds will be insufficient, leading to the payment crisis of the bank. If the payment crisis spreads, it may lead to a financial crisis and cause great harm to the regional or national economy. If the bank goes bankrupt because of the payment crisis (of course, this has not happened in China at present, and it is more common in foreign banks), it will also harm the interests of depositors. Therefore, the higher the loan-to-deposit ratio, the better. There should be a degree. In order to prevent excessive expansion of banks, the central bank currently stipulates that the highest loan-to-deposit ratio for commercial banks is 75%.