For starters, the insurance fund isn't a separate account, as many imagine it to be.
Nor did an insurance fund that the Finance Ministry had patched together have sufficient resources.
Other ideas such as creating an insurance fund for customers are also being considered, he said.
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Under Dodd-Frank, these larger regional players would contribute larger assessments to the FDIC Deposit Insurance Fund.
That has prompted calls for a European insurance fund which would guarantee repayment in euros.
Two-fifths of it is being financed by an unemployment-insurance fund that workers and firms pay into.
And a common deposit-insurance fund could also credibly reduce the risk of bank runs in vulnerable countries.
But banks should be able to be wound down at no cost to the insurance fund or taxpayers.
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These suits maximize recoveries for creditors of the failed bank receivership, including uninsured depositors and the deposit insurance fund.
Dr. PENNINGTON-CROSS: Then we're introducing a series of borrowers that will increase the overall risk of this insurance fund.
Because the incentives of subordinated-debt holders are closely aligned with those of the deposit-insurance fund (and hence of taxpayers).
With this rate of growth, the Deposit Insurance Fund would have to be huge by the end of September 2020.
Quite apart from the cost to the FDIC's deposit-insurance fund, anything close to that would prove logistically overwhelming for regulators.
The agency characterized the transaction as being done on an "open bank basis, " with no risk to the deposit insurance fund.
Brazil reduced reserve requirements and gave banks and its deposit-insurance fund incentives to buy up the loan portfolios of smaller banks.
It identified four areas as a priority for a clean-up: the health insurance fund, the customs service, the prosecutor's office and the judiciary.
Any one of them is big enough to sink the Federal Deposit Insurance Fund and require another federal bailout, with but one stupid move.
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The FDIC's insurance fund will not take any loss from the seizure of Wamu, but JPMorgan won't be taking on the holding company's debt.
Yet Pierre Moscovici, the French finance minister, last week surprised many by speaking of federalism and floating an intriguing idea: a Europe-wide unemployment-insurance fund.
If the FDIC had additional funding they could bolster the Deposit Insurance Fund (DIF) and suspend bank assessments for community banks under a total asset threshold.
While this is not the same as a Federal guarantee, no state life insurance fund has ever let one of its members renege on its claims.
Regarding the bankruptcies of MF Global and Peregrine Financial, Chilton said he is promoting an insurance fund, similar to the Securities Investor Protection Corp.
That, according to a suit filed by the California State Compensation Insurance Fund, was the intention behind Ideal Payroll Plus and Ideal Management, two Rancho Cucamonga, Calif.
Keep in mind that the costs of Fannie Mae and Freddie Mac are unlimited through 2012 at least, and that the FDIC Deposit Insurance Fund is essentially broke.
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This week, a Socialist member of parliament, Jean-Marie Le Guen, was formally put under investigation for the alleged misuse of public money in a scandal involving a students' insurance fund.
Another 3% of the workers' pay is kept back to pay the management fees, which are regulated, and to finance a disability insurance fund for the system as a whole.
Without the additional funding, the insurance fund was set to run out of cash next week as a result of the high volume of claims resulting from the northeastern storm.
Depositors in other countries, who were entitled to compensation from the Icelandic deposit-insurance fund, found that the pot in Reykjavik was too small to pay them when the banks went bust.
"The Health Insurance Fund is funded by contributions from employees and the self-employed and there's no intention of increasing those contribution fees at the moment, nor have we any immediate plans to reintroduce prescription charges, " he said.
On the other hand, to prevent people from ever again experiencing the loss of their life savings as banks went out of business, banks are regulated to prevent "unsafe and unsound" business practices so as to protect depositors and the federal deposit insurance fund.
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