Posted By: Mary Beth Guard
FDIC to temp. cover ALL funds in certain accounts - 10/14/08 01:06 PM
FDIC just announced a new Temporary Liquidity Guarantee program.
-- All banks and some holding companies are eligible;
-- part of it entails FDIC guaranteeing newly issued senior unsecured debt;
-- the other part involves providing FULL COVERAGE of non-interest bearing deposit transaction accounts REGARDLESS OF DOLLAR AMOUNT.
Participation in the plan is voluntary and automatic for the first 30 days. A company may opt out within the 30 days if it doesn't want to participate on a go-foward basis. We have a call in to the FDIC to learn more about the process of participating versus opting out.
No fee for the first thirty days. Fees after that.
The guarantee of the deposit accounts is temporary. It expires at the end of 2009.
We're putting out a special briefing later today with more details and I'll be covering this (and the increase to $250,000 and all the other recent changes by FDIC and NCUA) in a webinar tomorrow morning -- 10:30 a.m. central time, Wednesday, October 15, 2008.
[url=Webinar info]http://calendar.bollearningconnect.com/main.php?view=event&eventid=1223402341172[/url]
-- All banks and some holding companies are eligible;
-- part of it entails FDIC guaranteeing newly issued senior unsecured debt;
-- the other part involves providing FULL COVERAGE of non-interest bearing deposit transaction accounts REGARDLESS OF DOLLAR AMOUNT.
Participation in the plan is voluntary and automatic for the first 30 days. A company may opt out within the 30 days if it doesn't want to participate on a go-foward basis. We have a call in to the FDIC to learn more about the process of participating versus opting out.
No fee for the first thirty days. Fees after that.
The guarantee of the deposit accounts is temporary. It expires at the end of 2009.
We're putting out a special briefing later today with more details and I'll be covering this (and the increase to $250,000 and all the other recent changes by FDIC and NCUA) in a webinar tomorrow morning -- 10:30 a.m. central time, Wednesday, October 15, 2008.
[url=Webinar info]http://calendar.bollearningconnect.com/main.php?view=event&eventid=1223402341172[/url]