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Podcast: Faith and Economics
Episode: Fed Pays Banks 5.15% With Your Savings - You Get None of It?| #240
Description: Russ presents a grievance to the Federal Reserve and their use of Interest on Reserves in this episode. We discuss interest on reserves and how it is being used to increase national debt spending. The Fed has incentivized the banking system to invest vault savings, or the grouping of individual saving accounts, into the Federal Reserve's vault savings by offering banks 5.15% on the money invested. Banks are encouraged to invest their money in the Federal Reserve, not private investments and institutions. Additionally, this incentivizes the Fed to utilize these funds to increase government spending. Listen now to hear more...