When the Federal Reserve System was established,
A)all banks were required to become members
B)only federally chartered banks were allowed to join
C)only federally chartered banks were required to join
D)most banks joined even though none were required to join
E)membership was required for all banks in some states,but not in others

Question

Quizplus · Accepted Answer

When the Federal Reserve System was established, only federally chartered banks were required to join as members. State-chartered banks were not required to join, but they were permitted to do so if they met certain requirements. This changed in 1935 with the passage of the Banking Act, which made all banks eligible for membership in the Federal Reserve System.

When the Federal Reserve System Was Established