3-6-3 Rule

The term 3-6-3 Rule describes how the United States retail banking industry operated from the 1950s to the 1980s. The name 3-6-3 refers to the impression that bankers had a stable, comfortable existence by paying 3 percent interest on deposits, lending money out at 6 percent, and being able to "tee off at the golf course by 3 p.m." The rule has been noted positively following the late-2000s financial crisis as a preferable way for banks to operate following the bailout of major banks.

3-6-3 Rule

The term 3-6-3 Rule describes how the United States retail banking industry operated from the 1950s to the 1980s. The name 3-6-3 refers to the impression that bankers had a stable, comfortable existence by paying 3 percent interest on deposits, lending money out at 6 percent, and being able to "tee off at the golf course by 3 p.m." The rule has been noted positively following the late-2000s financial crisis as a preferable way for banks to operate following the bailout of major banks.