FDIC Sets Comment Deadline on Proposed Assessment for the Deposit Insurance Fund

The FDIC set a comment deadline of July 21, 2023 for proposed special assessments to recover losses to the Deposit Insurance Fund that resulted from the FDIC making whole all uninsured depositors of Silicon Valley Bank and Signature Bank. The comment deadline was published in the Federal Register.

As previously covered, the FDIC estimated that the total amount to be collected under the special assessments would be $15.8 billion. Under the proposal, the FDIC said that the special assessment would be collected (i) over an eight-quarter collection period (which period could be shortened or extended based upon actual losses realized by the insurance fund) and (ii) with a quarterly rate of 3.13 basis points. In certain circumstances, the assessment used for the calculation would exclude the first $5 billion from estimated uninsured deposits reported as of December 31, 2022.

The FDIC also may choose to impose a "one-time final shortfall special assessment" in order to collect the amount of actual losses.

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