Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Strategies & Market Trends : Value Investing -- Ignore unavailable to you. Want to Upgrade?

To: E_K_S who wrote (37238)	4/2/2010 7:01:37 PM
From: blastedwand	Read Replies (1) \| Respond to of 78744

"FDIC announced its temporary Transaction Account Guarantee Program, which provides full coverage for noninterest-bearing transaction deposit accounts at FDIC-insured institutions that agree to participate in the program. The transaction account guarantee applies to all personal and business checking deposit accounts that do not earn interest at participating institutions. This unlimited insurance coverage is temporary and will remain in effect for participating institutions through December 31, 2009" it was a temporary program to calm markets by the fdic. The program ended Dec 31st 2009. So yes I do view it as a recovery sign for banks. If they still needed it the FDIC would have kept it in effect. EDIT looks like it was extended for banks that need it until June 20th 2010. * Any insured depository institution that is currently participating in the TAG program may continue in the program during the extension period that ends on June 30, 2010. * The annual assessment rate that will apply to participating institutions during the extension period will be either 15 basis points, 20 basis points or 25 basis points, depending on the Risk Category assigned to the institution under the FDIC's risk-based premium system. * Any institution currently participating in the TAG program that wishes to opt out of the TAG extension must submit its opt-out election to the FDIC on or before November 2, 2009. See page 2 for instructions on how to opt out. * Any such election to opt out will be effective on January 1, 2010. * Every institution currently participating in the TAG program should review its disclosures and modify them as necessary to ensure that they will be accurate after December 31, 2009. * The maximum interest rate limit for NOW accounts remains unchanged. So yes I still view this as a very positive thing for C. They don't need it and so have elected not to provide it. It is going away for all banks it looks like June 30th.