# Cash Reserve Ratio?

The cash reserve ratio for a bank refers to the minimum amount of money that the bank is allowed to have in the vault at anytime. The cash reserve ratio is a percentage of the banks total deposits. This cash reserve ratio was put into place to be sure that the bank does not run out of money for the amount of deposits and withdraws are made. If prevents the bank from running out of money when there are several more withdraws than deposits.
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 The U.S. economy doesn't have a fixed amount of money in it. The amount of money in the system rises and falls, and money is continually being created. For the most part, it's not http://www.ehow.com/info_8195361_cash-reserve-rati...
 Cash Reserve Ratio or CRR in India is the amount of money that every. bank. has to deposit with the RBI per customer. Every time a customer deposits cash to the bank, the bank has http://wiki.answers.com/Q/What_is_reserve_cash_rat...
 All commercial banks are required to keep a certain amount of its deposits in cash with RBI. This percentage is called the cash reserve ratio. The current CRR requirement is 8 per http://www.rediff.com/money/2001/apr/18tut.htm
 The reserve requirement (or required reserve ratio) is a bank regulation that sets the minimum reserves each bank must hold to customer deposits and notes. These reserves are designed http://answers.yahoo.com/question/index?qid=200702...
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