Teach Children to Save Day! –Image: Montecito Bank & Trust
(Business Insider) It may seem outrageous however bank customers may soon have to anticipate being charged to keep their money in U.S. Banks according to Market Watch should the Federal Reserve reduces what it pays banks on the excess reserves–that is, reserve amounts over the minimum that the Fed requires held in the central bank.
Banks have said this is the side-effect of the Federal Reserve Quantitative Easing strategy that began during Obama’s Watch in March, 2009 to keep interest rates at historically low rates believing that this would spur investment and consumption, thereby increasing employment.
How’s Obama’s central planning working out for you?
Related: Quantitative Easing–You’re Soaking In It –CATO
Tweet