NCJ Number
116357
Journal
Business Lawyer Volume: 44 Issue: 1 Dated: (November 1988) Pages: 169-210
Date Published
1988
Length
42 pages
Annotation
This article reviews the history of the U.S. deposit insurance system, emphasizing the consequences of deregulation in the 1980s.
Abstract
Many financial institutions whose deposits were insured by the Federal government were permitted to undertake functions in the 1980s for which they were unprepared. Loan losses were considerable, making it necessary for many depositors to learn quickly the rules by which their accounts were insured. The article contains a thorough discussion of the Federal rules, including disclosure and record keeping requirements, for single and joint accounts as well as trust, IRA, and Keogh accounts insured under the Federal Savings and Loan Insurance Corporation (FSLIC) and the Federal Deposit Insurance Corporation (FDIC). Special problems concerning such entities as overfunded pension plans, voluntary employee contributions, health and welfare plans, and irrevocable trusts containing both ascertainable and unascertainable trust estates are discussed as are brokered accounts, retail certificates of deposit, and mutual funds. The article describes in detail remedies available for uninsured depositors. 231 footnotes.