Deposit insurance United States
The United States was the first country to
establish an official deposit insurance scheme, the Federal Deposit
Insurance Corporation, during a Great Depression banking crisis in 1933.
A separate fund, the National Credit Union Share Insurance Fund (NCUSIF)
administered by the National Credit Union Administration (NCUA), was
created in 1970 to insure deposits at credit unions.
In Massachusetts, the Depositors Insurance Fund (DIF) insures deposits
in excess of the FDIC limits at state-chartered savings banks
information: FDIC, NCUSIF, and FSLIC
The United States was the first country to officially enact
deposit insurance to protect depositors from losses by
insolvent banks. In 1933 the Glass–Steagall Act established
the Federal Deposit Insurance Corporation (FDIC) to insure
deposits at commercial banks.
In 1970 Congress established a separate fund for credit
unions, the National Credit Union Share Insurance Fund. The
NCUSIF insures all federally-chartered credit unions and
many state-chartered credit unions (98% as of 2009). Some
others are insured by the private guaranty corporation
American Share Insurance (156 as of 2009).
In 1934, Congress created the Federal Savings and Loan
Insurance Corporation to insure savings and loan deposits.
In the 1980s, during the savings and loan crisis, the FSLIC
became insolvent and was abolished; its responsibility was
transferred to the FDIC.
Some financial institutions offer insurance in excess of
FDIC or NCUA limits. For example, the Depositors Insurance
Fund insures excess deposits at Massachusetts-chartered
savings banks. American Share Insurance provides excess
share insurance at participating credit unions
Deposit Insurance Corporation
Deposit insurance in United States
Bank regulation in the United States