FDIC 99 years mythology ...
For years, I was a believer. I thought the FDIC was required to make full payment of all insured funds within 99 years, but had always paid within 3 years.
I checked out the FDIC web site, and found nothing specific other than a statement that the 99 year limit was a myth. I read the laws on their site. I read some of their history. I read way too much about it, and it started to blur in my head.
I called the FDIC toll free number (877)275-3342 to ask about it. According to the representative:
- There is no "fixed" time limit.
- The only procedural time limit is phrased "as soon as possible".
- The FDIC is backed by the "Full Faith of the US Treasury Department".
- The FDIC has a 0.5 Trillion dollar credit line available from that same department.
- Payments have always been made within three days.
I can't find anything within any procedures or laws which even mentions any sort of time limits.
I question the "three day" payments in the mid 1900s when it was a paper and ink system, but that matter is moot.
Does anyone have any links to government web sites, or pages containing full content of any laws which expand on the time limit?
Don
btw, the failed bank list was eye opening.
http://www.fdic.gov/bank/individual/failed/banklist.html
I checked out the FDIC web site, and found nothing specific other than a statement that the 99 year limit was a myth. I read the laws on their site. I read some of their history. I read way too much about it, and it started to blur in my head.
I called the FDIC toll free number (877)275-3342 to ask about it. According to the representative:
- There is no "fixed" time limit.
- The only procedural time limit is phrased "as soon as possible".
- The FDIC is backed by the "Full Faith of the US Treasury Department".
- The FDIC has a 0.5 Trillion dollar credit line available from that same department.
- Payments have always been made within three days.
I can't find anything within any procedures or laws which even mentions any sort of time limits.
I question the "three day" payments in the mid 1900s when it was a paper and ink system, but that matter is moot.
Does anyone have any links to government web sites, or pages containing full content of any laws which expand on the time limit?
Don
btw, the failed bank list was eye opening.
http://www.fdic.gov/bank/individual/failed/banklist.html