<p>When you get your \$200 back, the bank's required reserves go down by \$20 as well, so the bank can take that amount back from its reserves.</p>

<p>Operationally, the bank wouldn't go to the central bank and get this, as they probably would have \$200 in cash laying around already.</p>

CC BY-SA 4.0
2019-12-16T22:23:03.593Z
But 20 dollars isn't enough to get the $200 back, can the bank take more from the required reserves and assume that they can replenish it when more deposits come in?
Chris Mason
CC BY-SA 4.0
2019-12-17T02:33:51.777Z
The bank can take more from the required reserve if they have excess reserve. Usually banks wouldn't keep excess reserve though, as they're better off investing in liquid assets.
Art
CC BY-SA 4.0
2019-12-16T10:36:55.107Z
2019-12-16T10:36:55.107Z
Art
<p>Say I deposit 200 dollars in the bank and 20 dollars is set aside for the required reserves. Other customers also deposit money and more money goes into the required reserves.</p>

<p>If I go and get the 200 dollars back, can the bank take money from the required reserves, or can that not be touched unless a bank run occurs?</p>

<banking>
Do banks take money to repay deposits from required reserves?
Chris Mason
# Do banks take money to repay deposits from required reserves?

(Asked by: username_0 on 2019-12-16)

Say I deposit 200 dollars in the bank and 20 dollars is set aside for the required reserves. Other customers also deposit money and more money goes into the required reserves.

If I go and get the 200 dollars back, can the bank take money from the required reserves, or can that not be touched unless a bank run occurs?

**Tags:** banking

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## 1 answers

### Answer by username_1 on 2019-12-16. Score: 2 | Accepted answer

When you get your \$200 back, the bank's required reserves go down by \$20 as well, so the bank can take that amount back from its reserves.

Operationally, the bank wouldn't go to the central bank and get this, as they probably would have \$200 in cash laying around already.

> **Comments:**
> **username_0**: But 20 dollars isn't enough to get the $200 back, can the bank take more from the required reserves and assume that they can replenish it when more deposits come in?  
> **username_1**: The bank can take more from the required reserve if they have excess reserve. Usually banks wouldn't keep excess reserve though, as they're better off investing in liquid assets.  

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