Straight Talk: Assessment Blues

      On Feb. 27, the FDIC announced it is proposing a 20-basis-point special assessment on deposits, payable this September. For a bank with $100 million in deposits on June 30, the assessment means an additional $200,000 expense. For perspective, consider that in the FDIC’s Kansas City Region, there are 137 banks with about $100 million in deposits. Last year, 18 of those lost money, five made less than $200,000, and another six made between $400,000 and $200,000. This assessment would be incredibly burdensome for many institutions.

  . . .

This content is only accessible to members with a current subscription. If you are a subscriber but don't have online access, please contact us at 952-835-2275.

Purchase Subscription