Deposit Insurance Assessment Rate Schedules and Financing Corporation (FICO) Assessments
FIL-59-97 June 6, 1997
CHIEF EXECUTIVE OFFICER
Assessment Rates for the Second Semiannual Assessment Period of 1997
On May 6, 1997, the FDIC Board of Directors voted to retain the
existing Bank Insurance Fund (BIF) and Savings Association
Insurance Fund (SAIF) assessment schedules of 0 to 27 basis
points (annual rates) for the second semiannual period of 1997.
On May 20, 1997, the Board voted to collect on behalf of the FICO
assessments sufficient to meet the funding requirements of the
FICO for the remainder of 1997. The FICO rate on BIF-assessable
deposits will be 1.26 basis points, on an annual basis, and the
rate on SAIF-assessable deposits will be 6.30 basis points.
Deposit Insurance Assessment Rates
The assessment rate schedule for the second semiannual period of
1997 for BIF-insured and SAIF-insured institutions follows:
Approximately 95 percent of all BIF-insured institutions are
expected to be listed in the lowest risk category and to continue
to pay no assessments. The average annual BIF assessment rate is
projected to be approximately one-tenth of a cent per $100 of
assessable deposits (0.09 basis points). The BIF reserve ratio
(fund balance to insured deposits) was 1.34 percent as of
December 31, 1996.
Nearly 90 percent of SAIF-insured institutions are expected to
pay no assessments. The average annual SAIF assessment rate is
projected to be approximately one-half cent per $100 of SAIF-assessable deposits (0.44 basis points). The SAIF reserve ratio
stood at 1.30 percent of as December 31, 1996.
FICO Assessment Rates
The Deposit Insurance Funds Act of 1996 (Funds Act) authorized
the FICO to levy assessments on BIF- and SAIF-assessable
deposits, and stipulated that the BIF rate must equal one-fifth
the SAIF rate through year-end 1999, or until the insurance funds
are merged, whichever occurs first. Thereafter, BIF and SAIF
payers will be assessed pro rata for FICO. The BIF rate of 1.26
basis points and the SAIF rate of 6.30 basis points are based on
deposit balances of March 31, 1997, taken from insured
institutions' Call Reports and Thrift Financial Reports.
Collection for the FICO will take place via direct debit on the
collection date established for BIF and SAIF assessments, June
The FICO assessment will continue to be adjusted quarterly to
reflect changes in the assessment bases of the respective funds
based on quarterly Call Report and Thrift Financial Report
submissions. FICO rates will be adjusted for the September 30,
1997, assessment collection date based on June 30, 1997, deposit
Questions about the assessment rates should be directed to the
FDIC's toll-free Assessment Hotline at 1-800-759-6596 (202-898-7090 in the Washington, D.C., area) between 8:30 a.m. and 4:30
p.m., Eastern Time.
Distribution: Insured Banks and Savings Associations
NOTE: Paper copies of FDIC financial institution letters may be
obtained through the FDIC's Public Information Center, 801 17th
Street, N.W., Room 100, Washington, D.C. 20434 ((703) 562-2200).
For the web version of FDIC FILs, go to: News, Events & FOIA