Banks create money when they:

Accepting deposits is a fundamental banking function, but it does not create new money. Instead, it simply transfers existing money from one account to another without expanding the overall money supply. While deposits are essential for banks to have the funds necessary for lending, they do not in themselves create money.

Transferring reserves between banks involves moving existing funds rather than creating new money. This process is part of interbank transactions that help maintain liquidity and meet reserve requirements but does not increase the total money supply. Thus, it is not a mechanism for money creation.

Vault cash refers to the physical cash held in a bank's vault for daily transactions. While it is a vital aspect of a bank's operations, simply holding cash does not contribute to money creation. Instead, it represents a portion of the bank's reserves and does not affect the overall money supply unless used in lending.