Prev Next  

Advertisement

How the Federal Deposit Insurance Corporation Works

Lots More Information

Author's Note: How the Federal Deposit Insurance Corporation Works

The FDIC is a wonderful example of effective government regulation. The FDIC was created to address a massive failure in the banking system and the loss of public trust in their financial institutions. It doesn't cost a dime of taxpayer money to operate and it has successfully insured every U.S. bank account holder since 1933. The regulatory powers of the FDIC were extended in the wake of the global financial crisis and Great Recession of 2007 through 2009. It remains to be seen whether new agencies like the Consumer Finance Protection Board and the Office of Complex Financial Institutions will be able to rein in the country's largest banks and safeguard the ordinary bank customer and homeowner against the volatility of the financial markets. Unless someone buys me a winning Powerball lottery ticket for Christmas, I am never going to have more than $250,000 in a single bank account. But it's comforting to know that my cash savings — as meager as they are — are at least fully insured.

Related Articles

Sources:

  • Consumer Finance Protection Board. "About Us" (July 2, 2013) http://www.consumerfinance.gov/the-bureau/
  • Encyclopedia Britannica. "Federal Deposit Insurance Corporation (FDIC)" (April 3, 2008) http://www.britannica.com/eb/article-9033896/Federal-Deposit-Insurance-Corporation
  • FDIC. "The 1930s." May 2, 2006 (April 3, 2008) http://www.fdic.gov/about/learn/learning/when/1930s.html FDIC. "The 1940s." May 2, 2006 (April 3, 2008) http://www.fdic.gov/about/learn/learning/when/1940s.html
  • FDIC. "The 1950s." May 2, 2006 (April 3, 2008) http://www.fdic.gov/about/learn/learning/when/1950s.html
  • FDIC. "The 1960s." May 2, 2006 (April 3, 2008)
  • FDIC. "The 1970s." May 2, 2006 (April 3, 2008) http://www.fdic.gov/about/learn/learning/when/1970s.html
  • FDIC. "The 1980s." May 2, 2006 (April 3, 2008) http://www.fdic.gov/about/learn/learning/when/1980s.html
  • FDIC. "The 1990s." May 2, 2006 (April 3, 2008) http://www.fdic.gov/about/learn/learning/when/1990s.html (April 3, 2008)
  • FDIC. "Basic FDIC Insurance Coverage Permanently Increased to $250,000 Per Depositor." July 21, 2010 (July 1, 2013) http://www.fdic.gov/news/news/press/2010/pr10161.html
  • FDIC. "FDIC Announces Organizational Changes to Help Implement Recently Enacted Regulatory Reform by Congress." August 10, 2010 (July 2, 2013) http://www.fdic.gov/news/news/press/2010/pr10184.html
  • FDIC. "FDIC Divisions." March 17, 2006 (April 3, 2008) http://www.fdic.gov/about/learn/learning/who/division.html
  • FDIC. "History of the FDIC." December 12, 2006 (April 3, 2008) http://www.fdic.gov/about/history/index.html
  • FDIC. "Insurance Coverage Basics." (July 2, 2013) http://www.fdic.gov/deposit/deposits/insured/basics.html
  • FDIC. "Insuring Your Deposits." May 25, 2007 (April 3, 2008) http://www.fdic.gov/deposit/deposits/insuringdeposits/
  • FDIC. "Who is the FDIC?" (July 1, 2013) http://www.fdic.gov/about/learn/symbol/
  • FDIC. "Who Runs the FDIC?" May 25, 2007 (April 3, 2008) http://www.fdic.gov/about/learn/learning/who/runs.html
  • FDIC. "Who Works for the FDIC?" March 17, 2006 (April 3, 2008) http://www.fdic.gov/about/learn/learning/who/index.html FDIC. "Why Was the FDIC Created?" (April 20, 2008) http://www.fdic.gov/about/learn/learning/why/index.html

Advertisement


Advertisement

Advertisement

Advertisement

Advertisement

Advertisement


Advertisement


Recommended

Advertisement

Advertisement