PRESS RELEASE
Federal Deposit Insurance Corporation Each Depositor insured to at least $250,000
October 22, 2015
Media Contact:
Name: Barbara Hagenbaugh,
Phone 202) 898-6993
Email: mediarequests@fdic.gov
Congress created the Federal Deposit Insurance Corporation in 1933 to restore public confidence in the nation's
banking system. It promotes the safety and soundness of these institutions by identifying, monitoring and addressing
risks to which they are exposed. The FDIC receives no federal tax dollars — insured financial institutions fund its
operations.
FDIC press releases and other information are available on the Internet at www.fdic.gov, by subscription electronically
(go to www.fdic.gov/about/subscriptions/index.html) and may also be obtained through the FDIC's Public Information
Center (877-275-3342 or 703-562-2200). PR-82-2015
FDIC Board Adopts Proposed Rule to Increase Deposit Insurance Fund
To Statutorily Required Level
FOR IMMEDIATE RELEASE
The Board of Directors of the Federal Deposit Insurance Corporation (FDIC) today
adopted a proposal to increase the Deposit Insurance Fund (DIF) to the statutorily
required minimum level of 1.35 percent.
Congress in the Dodd-Frank Wall Street Reform and Consumer Protection Act
increased the minimum for the DIF reserve ratio, the ratio of the amount in the fund to
insured deposits, from 1.15 percent to 1.35 percent and required that the ratio reach
1.35 percent by September 30, 2020. Further, the Dodd-Frank Act also made banks
with $10 billion or more in total assets responsible for the increase from 1.15 percent to
1.35 percent.
Under a rule adopted by the FDIC in 2011, regular assessment rates for all banks will
decline when the reserve ratio reaches 1.15 percent, which the FDIC expects will occur
in early 2016. Banks with total assets of less than $10 billion will have substantially
lower assessment rates under the 2011 rule.
The proposed rule approved today would impose on banks with at least $10 billion in
assets a surcharge of 4.5 cents per $100 of their assessment base, after making certain
adjustments. The FDIC expects the reserve ratio would likely reach 1.35 percent after
approximately two years of payments of the proposed surcharges.
"The FDIC is proposing to implement the requirement to increase the Deposit Insurance
Fund to the statutory minimum through a balanced and deliberate approach," FDIC
Chairman Martin J. Gruenberg said. "This approach would ensure that the DIF reaches
Federal Deposit Insurance Corporation Each Depositor insured to at least $250,000
October 22, 2015
Media Contact:
Name: Barbara Hagenbaugh,
Phone 202) 898-6993
Email: mediarequests@fdic.gov
Congress created the Federal Deposit Insurance Corporation in 1933 to restore public confidence in the nation's
banking system. It promotes the safety and soundness of these institutions by identifying, monitoring and addressing
risks to which they are exposed. The FDIC receives no federal tax dollars — insured financial institutions fund its
operations.
FDIC press releases and other information are available on the Internet at www.fdic.gov, by subscription electronically
(go to www.fdic.gov/about/subscriptions/index.html) and may also be obtained through the FDIC's Public Information
Center (877-275-3342 or 703-562-2200). PR-82-2015
FDIC Board Adopts Proposed Rule to Increase Deposit Insurance Fund
To Statutorily Required Level
FOR IMMEDIATE RELEASE
The Board of Directors of the Federal Deposit Insurance Corporation (FDIC) today
adopted a proposal to increase the Deposit Insurance Fund (DIF) to the statutorily
required minimum level of 1.35 percent.
Congress in the Dodd-Frank Wall Street Reform and Consumer Protection Act
increased the minimum for the DIF reserve ratio, the ratio of the amount in the fund to
insured deposits, from 1.15 percent to 1.35 percent and required that the ratio reach
1.35 percent by September 30, 2020. Further, the Dodd-Frank Act also made banks
with $10 billion or more in total assets responsible for the increase from 1.15 percent to
1.35 percent.
Under a rule adopted by the FDIC in 2011, regular assessment rates for all banks will
decline when the reserve ratio reaches 1.15 percent, which the FDIC expects will occur
in early 2016. Banks with total assets of less than $10 billion will have substantially
lower assessment rates under the 2011 rule.
The proposed rule approved today would impose on banks with at least $10 billion in
assets a surcharge of 4.5 cents per $100 of their assessment base, after making certain
adjustments. The FDIC expects the reserve ratio would likely reach 1.35 percent after
approximately two years of payments of the proposed surcharges.
"The FDIC is proposing to implement the requirement to increase the Deposit Insurance
Fund to the statutory minimum through a balanced and deliberate approach," FDIC
Chairman Martin J. Gruenberg said. "This approach would ensure that the DIF reaches
the minimum reserve ratio while maintaining relatively stable and predictable
assessments. A large majority of banks will have substantially reduced assessments as
the DIF reaches 1.15 percent."
The primary purposes of the Deposit Insurance Fund are to protect the depositors of
insured banks and to resolve failed banks. The DIF is funded mainly through quarterly
assessments on insured banks.
After being depleted during the recent financial crisis, the DIF has risen for the past 5-
1/2 years to $67.6 billion as of June 30. The reserve ratio at the end of June was 1.06
percent.
Comments will be due 60 days after the rule is published in the Federal Register, which
is expected shortly.
Attachments:
Notice of Proposed Rulemaking - PDF (PDF Help)
Statement by FDIC Chairman, Martin J. Gruenberg
# # #
assessments. A large majority of banks will have substantially reduced assessments as
the DIF reaches 1.15 percent."
The primary purposes of the Deposit Insurance Fund are to protect the depositors of
insured banks and to resolve failed banks. The DIF is funded mainly through quarterly
assessments on insured banks.
After being depleted during the recent financial crisis, the DIF has risen for the past 5-
1/2 years to $67.6 billion as of June 30. The reserve ratio at the end of June was 1.06
percent.
Comments will be due 60 days after the rule is published in the Federal Register, which
is expected shortly.
Attachments:
Notice of Proposed Rulemaking - PDF (PDF Help)
Statement by FDIC Chairman, Martin J. Gruenberg
# # #