Savings Fitness Savings Fitness
What is the “Fed,” and What Does a Rate Increase Mean for Me?
The Federal Reserve System—more commonly known as the “Fed”—is the central banking system of the United States and is the part of the federal government that regulates the country’s financial institutions. Its board of governors oversees its 12 Federal Reserve Banks, as well as a number of branches. The Fed not only serves as the country’s central bank, but it also studies economic trends and makes policy decisions with the intention of creating a healthy economy.