The requirement is between zero percent and ten percent. [0] Basically, for assets less than $124 million, the reserve requirement is 3%. For more than $124 m

The requirement is between zero percent and ten percent. [0] Basically, for assets less than $124 million, the reserve requirement is 3%. For more than $124 million, the requirement is 10%. In other words, for every $100 on deposit at a bank, it can create "out of thin air" $90 and loan it out. If someone then gets that $90 and puts it in a checking account at the bank, the bank can create and loan out $81, then $72, than $64, $57.6, $51 etc. [0] https://www.federalreserve.gov/monetarypolicy/reservereq.htm https://www.federalreserve.gov/monetarypolicy/reservereq.htm