FDIC final rule on advertising and misuse of FDIC name or logo

On Tuesday, the FDIC announced its approval of a final rule implementing its statutory authority to prohibit any person or organization from making misrepresentations about FDIC deposit insurance or misusing the FDIC’s name or logo.

In recent years, the FDIC has observed an increasing number of instances where individuals or entities have misused the FDIC’s name or logo, or have made false or misleading representations about deposit insurance. To provide transparency into how the FDIC will address these and similar concerns, the final rule clarifies the FDIC’s procedures for identifying, investigating, and where necessary, taking formal and informal enforcement actions against individuals or entities to address violations.

The rule, which will amend the FDIC's regulation on Advertisement of Membership at 12 CFR Part 328, will take effect 30 days after its publication in the Federal Register.

• FIL-21-2022
• Statement by Acting Chairman Martin J. Gruenberg
• Statement by Acting Comptroller of the Currency Michael J. Hsu
• Statement by CFPB Director (and FDIC Board Member) Rohit Chopra
• PUBLICATION AND EFFECTIVE DATE UPDATE: Published in the Federal Register at 87 FR 33415 on 6/2/2022, with an effective date of 7/5/2022.

SAVE THE DATE! BankersOnline's John Burnett will present a special one-hour webinar on the FDIC's revised "Advertisement of Membership, False Advertising, Misrepresentation of Insured Status, and Misuse of the FDIC's Name or Logo" regulation on June 29, 2022, at 2:30 p.m. EDT.