Modern Banking
Federal Reserve System
Nations First True Central Bank
Central Bank
Bank that can lend to other banks in time of need
Federal Reserve Note
Paper currency issued by the Feds that eventually replaced all other types of federal currency
Run on the bank
A rush by depositors to withdraw their funds before the bank failed
Bank Holiday
Brief period of time where every bank in country is required to close
Commercial Bank
Banks that catered to the interests of business and commerce
Demand Deposit Account
Accounts whose funds could be removed by simply writing a check without approval
Thrift Institution
aka Thrifts or financial institutions, accepted deposits of small investors
Mutual Savings Bank
Depositor owned financial organization operated only for benefit of depositors
Savings Bank
Not owned by depositors
NOW accounts
Type of checking account that pays interest
Savings & Loan Association
Depository institution that invests majority of funds in home mortgages
Credit Union
Nonprofit service cooperative that's owned & operated for benefit of the members
Share Draft Account
Interest bearing accounts
The removal or relaxation of government restrictions on business
A person or institution to whom money is owed.