Summary: Recently under Dodd-Frank, the FDIC implemented a new assessment base for levying deposit-insurance premiums. Questions are now arising as to the impact and likely unintended consequences of this material change in how the FDIC charges for deposit insurance and who will ultimately bear those charges. This question may lead to a court challenge of the FDIC’s assessment formulae. What are the likely responses by banks and their creditors to the new assessment structure? Will banks reduce their reliance on secured funding? Will banks become more aggressive in gathering retail deposits, pushing up retail deposit interest rates and harming community banks in the process? Will foreign banks gain a competitive edge over FDIC-insured banks? Will Congress step into the fray? Our speakers address these and other issues. Featuring: Mr. Christopher Cole of the Independent Community Bankers of America; Mr. Bert Ely of Ely & Company, Inc.; and Mr. John Douglas of Davis Polk & Wardwell LLP as the moderator.
