Letter Re: A Bank Run Reality Check
Mr. Rawles, After reading the letters about banking reality, I would like to add what I have learned from working at a reputable bank in the Midwest. The bank never has enough cash on hand to supply all their “demand “ or checking accounts, no matter what their legal fine print says. The amount of cash is mandated by the Federal Reserve for the banks in their region. Each week the Fed tells the branch how much cash they can order, how much excess cash must be sent back to them, and how much cash they will need to …