Banks don't have to back your account with cash...at all

The Financial Services Regulatory Relief Act was passed in 2006. I'm not sure what prompted such a bill and the fact that it is law is just scary. What is worse is that hidden in the Emergency Economic Stabilization Act of 2008 are ammendments to this bill that give Banks the right to carry 0%-3% of deposits in available cash effective October 1, 2008. That means the changes eliminated the requirement for banks to keep reserves of cash on hand to cover deposits. So if you go into a bank and want your money they can tell you "Sorry, we're out of cash for the day." and it is perfectly legal. Take a look if you don't believe me:

Financial Services Regulatory Relief Act of 2006, Section 202, 203: http://www.govtrack.us/congress/billtext.xpd?bill=s109-2856

Emergency Economic Stabilization Act of 2008, Section 128 :
http://money.cnn.com/2008/10/01/news/pdf/index.htm

Here is the Original Code:
http://www.law.cornell.edu/uscode/pdf/uscode12/lii_usc_TI_12_CH_3_SC_XIV_SE_461.pdf

The Financial Services Regulatory Relief Act of 2006 made changes to the United States Code TITLE 12 - BANKS AND BANKING, CHAPTER 3 - FEDERAL RESERVE SYSTEM, SUBCHAPTER XIV - BANK RESERVES.

These changes weren't set to take place until October 1, 2011 but the bailout bill has ammended that date to October 1, 2008. Yea, yesterday.