Facility provided by the Fed enabling member banks to borrow reserves against collateral in the form of governments or other acceptable paper.
Federal Reserve mechanism for making direct loans to financial institutions with deficiencies in their reserve accounts. The institutions borrow funds at the discount rate, which is established by the Federal Reserve Bank. Regular borrowing at the discount window is discouraged as this is an indication of a bank's inability to effectively manage its asset/liability position.
A facility offered by a county’s Central Bank by which commercial banks may borrow short-term (at the Discount rate), for instance in order to adjust to sudden changes in their assets and liabilities portfolio. Français: Facilité d'escompte Español: Servicio de redescuento
allows Federal Reserve Bank members to borrow reserves
An activity of the Federal Reserve Bank wherein member banks borrow money to meet reserve requirements.
The mechanism by which member banks may borrow from the federal reserve. See: Discount Rate.
A teller-like cage at which member banks may borrow reserves from a Central Bank upon pledge of acceptable collateral.
A place in the Federal Reserve where banks go to borrow money at the Discount rate. Borrowing from the Fed is a privilege, not a right, and banks are discouraged from using the privilege except when they are short of reserves. See also Discount Rate.
Federal Reserve location where banks can borrow money at the discount rate. See: Discount Rate
The Federal Reserve facility that extends last-resort credit directly to eligible depository institutions.
Figurative expression referring to the Federal Reserve's facility for extending credit directly to eligible depository institutions (those with transaction accounts or nonpersonal time deposits).
Discount window refers to the practice by a central bank of extending short-term loans secured by government bonds to financial institutions. The interest rate charged on such loans—or discount rate, an important factor in the control of money supply—is set as a matter of monetary policy. When a bank is in need of money, it can turn to the Federal Reserve for a loan, the interest that the Fed charges the bank is called the discount rate.
