🇬🇧 en pt 🇵🇹

fractional reserve banking noun

  • (finance, chiefly, banking) A widespread banking system in which a bank that accepts deposits from the public puts the majority of those deposits into investments (generating a profit for the bank) as opposed to keeping them all in reserve (i.e., directly on hand); the system assumes that it is unlikely that every customer would need to withdraw their money at the same time (i.e., a bank run).
 reserva fracionária
Wiktionary Links