Monetary Control Act of 1980

Monetary Control Act of 1980 (MAC)

Act which requires that all banks and all institutions that accept deposits from the public make periodic reports to the Federal Reserve System. Starting in September 1981, the Fed charged banks for a range of services that it had provided free in the past, including check clearing, wire transfer of funds and the use of automated clearinghouse facilities.

---

Monetary Control Act of 1980

Legislation in the United States that deregulated banks while simultaneously giving the Federal Reserve more authority over non-member banks. Particularly, it required non-member banks to abide by Federal Reserve decisions, but allowed greater leeway in bank mergers and in individual banks setting their own interest rates. The Act also raised deposit insurance to $100,000 per account. It is formally known as the Depository Institutions Deregulation and Monetary Control Act.