DEFINITION of 'Reserve City Bank'

A bank that is found in any city that also has a Federal Reserve bank or Federal Reserve branch office. City banks are usually required to maintain higher account balance reserves than other banks.

BREAKING DOWN 'Reserve City Bank'

Boston, New York, Philadelphia, Cleveland, Richmond, Atlanta, Chicago, St. Louis, Minneapolis, Kansas City, Dallas and San Francisco all have Federal Reserve banks and, therefore, reserve city banks as well. Banks that are located outside cities with Federal Reserve banks are called country banks.

RELATED TERMS
  1. Federal Reserve Bank Of Kansas ...

    The Federal Reserve Bank responsible for the 10th district, located ...
  2. Federal Reserve Bank Of New York

    The Federal Reserve bank that is responsible for the second district ...
  3. Federal Open Market Committee - ...

    The branch of the Federal Reserve Board that determines the direction ...
  4. Federal Reserve Credit

    Refers to the process of the Federal Reserve lending funds on ...
  5. Federal Reserve Bank

    The central bank of the United States and the most powerful financial ...
  6. Federal Reserve Bank Of Cleveland

    The Federal Reserve Bank responsible for the fourth district. ...
Related Articles
  1. Insights

    Regional Banks Give The Fed A National Perspective

    We all know that the Federal Reserve utilizes monetary policy to control the economy, but what do the 12 regional Federal Reserve Banks do?
  2. Investing

    How Citigroup Ensured That It's Too Big to Fail

    As a business, Citi has everything going for it. Scale, operational breadth...and the ear of key policymakers.
  3. Personal Finance

    Top 10 Most Expensive Cities in the U.S.

    New York City tops the list of most expensive cities in the US, and five of them are located in California.
  4. Personal Finance

    Explaining the Reserve Ratio

    Reserve ratio is the amount of cash a bank must keep in its bank vaults or deposit into a central, governing bank.
  5. Insights

    Atlantic City is Running Out of Money

    The town with the worst credit rating in America is due to default on a bond payment Sunday.
  6. Investing

    How The U.S. Government Formulates Monetary Policy

    Learn about the tools the Fed uses to influence interest rates and general economic conditions.
  7. Personal Finance

    The Top 5 Under-the-Radar Cities for Job Seekers

    Don't be misled by 'Top 10' lists that rank cities purely on job growth. These cities get top marks for income growth and other key factors.
  8. Financial Advisor

    Why Banks Don't Need Your Money to Make Loans

    Contrary to the story told in most economics textbooks, banks don't need your money to make loans, but they do want it to make those loans more profitable.
RELATED FAQS
  1. What do banks do to control the bank reserve?

    Understand what the Federal Reserve does in order to expand or contract the economy. Learn what depository institutions can ... Read Answer >>
  2. How are bank reserve requirements determined and how does this affect shareholders?

    Learn how bank reserve requirements are determined and how bank reserves affect shareholders through improved bank stability ... Read Answer >>
  3. How do central banks acquire currency reserves and how much are they required to ...

    A currency reserve is a currency that is held in large amounts by governments and other institutions as part of their foreign ... Read Answer >>
  4. Why would the Federal Reserve change the reserve ratio?

    Understand the Federal Reserve's monetary policy and the tools it uses to change that monetary policy. Learn about the reserve ... Read Answer >>
  5. What happens if the Federal Reserve lowers the reserve ratio?

    Learn about the Federal Reserve's monetary policy and the tools it uses to control it. Understand what happens if the Federal ... Read Answer >>
  6. What is the structure of the U.S. Federal Reserve Bank?

    Wonder how the U.S. Federal Bank began and how it works today? Learn how this complex system is structured and how it works ... Read Answer >>
Hot Definitions
  1. Price Elasticity Of Demand

    A measure of the relationship between a change in the quantity demanded of a particular good and a change in its price. Price ...
  2. Market Capitalization

    The total dollar market value of all of a company's outstanding shares. Market capitalization is calculated by multiplying ...
  3. Frexit

    Frexit – short for "French exit" – is a French spinoff of the term Brexit, which emerged when the United Kingdom voted to ...
  4. Stop-Limit Order

    An order placed with a broker that combines the features of stop order with those of a limit order. A stop-limit order will ...
  5. Down Round

    A round of financing where investors purchase stock from a company at a lower valuation than the valuation placed upon the ...
  6. Keynesian Economics

    An economic theory of total spending in the economy and its effects on output and inflation. Keynesian economics was developed ...
Trading Center