A bill to modify reserve requirements of member banks of the Federal Reserve System; to extend such requirements to other institutions that accept demand deposits or certain other types of deposits; to authorize Federal Reserve banks to extend credit to such institutions; and for other purposes.
Reserve Requirements Act - Requires, under the Federal Reserve Act, that every institution receiving demand deposits maintain reserves as determined by the Board of Governors of the Federal Reserve System in a ratio of not less than 5 percent nor greater that 22 percent of such deposits.
Exempts the first $2,000,000 of the total of net demand deposits and negotiable order of withdrawal (NOW) accounts from reserve requirements set by the Federal Reserve.
Provides that the required reserves on demand deposits over $2,000,000 existing at the time of enactment are to be phased out over a 4-year period, at the rate of 20 percent of the total requirement per year.
Requires the reporting of deposit liabilities by member and nonmember institutions subject to reserve requirements set by the Federal Reserve. (Amends 12 U.S.C. 461)
Introduced in Senate
Referred to Senate Committee on Banking, Housing and Urban Affairs.
checking server…
Ask anything about this bill. The AI reads the full text to answer.
Enter to send · Shift+Enter for new line