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BANKS ARE IN TROUBLE – 223 TRILLION Hidden Risk in US Banks that is Known

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BANKS ARE IN TROUBLE – 223 TRILLION Hidden Risk in US Banks that is Known

By Stephanie

BANKS ARE IN TROUBLE

223 TRILLION hidden risk in US banks that is known

Banks are creating money out of thin air.
FRACTIONAL RESERVE BANKING

NOW THEY DON’T EVEN NEED TO HOLD 10%

“Federal Reserve reduced reserve requirements to 0% in March 2020 in response to the economic effects of the pandemic.”

Reserve requirements have remained at 0% since March 2020

“10% reserve requirement is a fractional reserve banking system rule where banks must hold 10% of customer deposits and can lend out the remaining 90%. This process allows banks to “create” money by lending out the 90%, which is then deposited into other banks, where 90% of that new deposit can be lent out again. This “money multiplier” effect expands the total money supply in the economy.”

WHAT COULD GO WRONG
HOW BIG IS THE
PROBLEM REALLY❓❓

Original Source

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