FDIC is in trouble - Needs Emergency Funds

Americans to discover FDIC deposit insurance isn't free

Although the government is doing what it can to postpone a rescue of the Federal Deposit Insurance Corp., Americans are about to get a lesson in bank-deposit insurance. The FDIC reported that it has $10.4 billion in a fund that insures about $4.5 trillion in bank deposits, while the list of problem banks continues to grow. To shore up the fund, the FDIC implemented a special levy in addition to regular bank fees, which have been a drain on bank capital at a time when regulators said banks need more capital. The efforts allow officials to avoid admitting that they will have to go hat in hand to taxpayers to keep the fund going.

-The Wall Street Journal