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Financial Institution Letters

Deposit Insurance Fund
Merger of Bank Insurance Fund and Savings Association Insurance Fund
FIL-36-2006
April 27, 2006


Summary: The Federal Deposit Insurance Corporation (FDIC) merged the Bank Insurance Fund (BIF) and the Savings Association Insurance Fund (SAIF) to form the Deposit Insurance Fund (DIF), effective March 31, 2006. This action was pursuant to the provisions in the Federal Deposit Insurance Reform Act of 2005. The FDIC has amended its regulations to reflect the funds merger. The final rule is attached.

Highlights:
  • Section 2102(a) of the Federal Deposit Insurance Reform Act of 2005 required that the FDIC merge the BIF and the SAIF to form the Deposit Insurance Fund no later than July 1, 2006.
  • The FDIC effectuated the merger of the BIF and the SAIF as of March 31, 2006.
  • As a result of the merger of the funds, the BIF and the SAIF were abolished.
  • The FDIC issued conforming amendments to its regulations reflecting the funds merger. The regulations were issued and took effect on April 21, 2006.

Distribution:
FDIC-Insured Depository Institutions

Suggested Routing:
Chief Executive Officer
Compliance Officer

Related Topics:
Deposit Insurance Assessments
Entrance and Exit Fees

Attachment:
Federal Register notice: "Revisions to Reflect the Merger of the Bank Insurance Fund and the Savings Association Insurance Fund" - PDF 64k (PDF Help)

Contact:
Joe DiNuzzo, Counsel, Legal Division, on 202-898-7349, or Donna Saulnier, Team Leader, Assessment Management, Division of Finance, on 703-562-6167

Printable Format:
FIL-36-2006 - PDF 36k (PDF Help)

Note:
FDIC Financial Institution Letters (FILs) may be accessed from the FDIC's Web site at www.fdic.gov/news/news/financial/2006/index.html.

To receive FILs electronically, please visit http://www.fdic.gov/about/subscriptions/fil.html.

Paper copies of FDIC financial institution letters may be obtained through the FDIC's Public Information Center (1-877-275-3342 or 703-562-2200).



Last Updated 04/27/2006 communications@fdic.gov