Washington, D.C. – The FDIC’s proposed increase of deposit insurance assessment rates rests on incomplete, outdated economic analysis, BPI, the American Bankers Association, the Consumer Bankers Association, the Independent Community Bankers of America, the National Bankers Association and the Mid-Size Bank Coalition of America wrote in a comment letter submitted today. The increase would harm …

To Whom it May Concern: The Bank Policy Institute[1] is writing to provide background information to the Federal Deposit Insurance Corporation, the Board of Governors of the Federal Reserve System, and the Office of the Comptroller of the Currency regarding the reporting of the balances of notional pooling products in Schedule RC-O of the Consolidated …

On July 12, 2022, we published a note that redid the FDIC’s recently published projections of the ratio of reserves to insured deposits with two changes to the FDIC’s assumptions: (1) We assumed that deposits would remain unchanged rather than grow in the near term.  (2) We assumed that the FDIC would earn 2.5 percent …

The Federal Reserve is currently obtaining a significant share of its funding through overnight reverse repurchase agreements with money market mutual funds.[1] The surge in borrowing from MMFs started in March 2021 when the Federal Reserve ended its temporary exclusion of reserve balances and U.S. Treasuries from the denominator of the supplementary leverage ratio that …