Transcript:
The Federal Reserve, or "the Fed"...
…is the central bank of the United States.
It oversees the country's monetary policy as well as the commercial banking system.
It's made up of 12 regional banks.
The first one, chartered by Congress, opened in Philadelphia in 1791.
With all banks collaborating together, The Federal Reserve can set policies to help the economy.
For example, if the economy is red hot…
…it promotes policies to keep the economy from overheating.
And when the economy needs a boost…
…it can make it even easier for people to borrow money and spend.
It also sets the federal funds rate that banks watch.
That's why you might see banks adjust interest rates when the Fed changes its rate.
So that's the Federal Reserve. Find more ways to know and grow your money at Synchronybank.com.
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