These non-interest bearing deposits are lent out at the Fed funds rate to other banks unable to meet overnight reserve requirements.
Investment dictionary. Academic. 2012.
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federal funds — Member bank deposits at the Federal Reserve; these funds are loaned by member banks to other member banks. Chicago Board of Trade glossary Short term investments/borrowings between banks, usually called fed funds. The investing/lending bank… … Financial and business terms
Federal funds — This article is about funds maintained by the U.S. Federal Reserve. For the funds provided by the U.S. government in terms of aid and assistance, see Federal aid. In the United States, federal funds are overnight borrowings by banks to maintain… … Wikipedia
Federal funds — Non interest bearing deposits held in reserve for depository institutions at their district Federal Reserve Bank. Also, excess reserves lent by banks to each other. The New York Times Financial Glossary * * * Federal funds Federal funds ➔ fund1 * … Financial and business terms
federal funds — noun plural Date: 1950 reserve funds lent overnight by one Federal Reserve bank to another … New Collegiate Dictionary
federal funds — noun plural : reserve funds lent overnight by one member bank of the Federal Reserve to another … Useful english dictionary
Federal funds — An ISO term. United States dollars on deposit at a Federal Reserve Bank in the United States. Reserves traded between commercial banks in the USA for overnight use. The minimum amount is US$1,000,000 … International financial encyclopaedia
federal funds — Deposits made by commercial banks in their Federal Reserve Banks to meet reserve requirements … American business jargon
Federal Funds — /ˌfed(ə)rəl fʌndz/ plural noun deposits by commercial banks with the Federal Reserve Banks, which can be used for short term loans to other banks … Dictionary of banking and finance
Federal Funds — Fin deposits held in reserve by the Federal Reserve System … The ultimate business dictionary
federal funds effective rate — USA federal funds effective rate, Also known as federal funds rate. A floating interest rate reference rate used by a lender under a loan agreement. In general terms, it is the rate per annum equal to the rate charged on federal funds… … Law dictionary