In reporting on the results of the 2003 and 2002 audits, GAO issued unqualified, or "clean," opinions on the three funds administered by the Federal Deposit Insurance Corporation (FDIC)--the Bank Insurance Fund (BIF), the
Savings Association Insurance Fund (SAIF), and the FSLIC Resolution Fund (FRF).
25 of insurance reserves per $100 of insured deposits for the Bank Insurance Fund (BIF) and
Savings Association Insurance Fund (SAIF).
House Banking Committee chairman Jim Leach (R-lowa) told members attending the American Institute of CPAs national conference on savings institutions that before the end of the year the House and the Senate would consider legislation to consolidate the Bank Insurance Fund (BIF) with the
Savings Association Insurance Fund (SAIF).
Any such decision to lower BIF premiums, though, while maintaining the higher premiums required to rebuild the
Savings Association Insurance Fund (SAIF), could seriously undermine the competitiveness of thrift institutions.
The Bank's deposits are federally insured up to the legal limit by the
Savings Association Insurance Fund, as administered by the Federal Deposit Insurance Corporation ("FDIC").
Insured deposit growth in 2001 and 2002, coupled with the increased costs associated with bank and thrift failures, had a detrimental effect on the FDIC's Bank Insurance Fund (BIF) and
Savings Association Insurance Fund (SAIF).
In 1989, legislation to reform the federal deposit insurance system created three funds to be administered by FDIC: the Bank Insurance Fund and the
Savings Association Insurance Fund, which protect bank and savings deposits, and the FSLIC Resolution Fund, created to close out the business of the former Federal Savings and Loan Insurance Corporation.
The
Savings Association Insurance Fund rescue plan now goes to President Clinton for his signature.
undersecretary of the Treasury for domestic finance, told members of the Senate Banking, Housing and Urban Affairs Committee that the failure of one or two large thrift institutions could exhaust the slender reserves of the
Savings Association Insurance Fund (SAIF), leaving it insolvent.
With some variation in numbers from year to year, roughly 150 members of the Bank Insurance Fund (mostly commercial banks) and 180 members of the
Savings Association Insurance Fund (mostly savings and loan associations) were chosen for each survey; they were picked randomly each year from each of seven regions of the country encompassing all fifty states and the District of Columbia and from five size groupings covering all institution sizes (see the appendix for more detail).
Insured deposit growth in 2000 and 2001, coupled with increased costs associated with bank and thrift failures, had a detrimental effect on the Bank Insurance Fund (BIF) and
Savings Association Insurance Fund (SAIF) of the Federal Deposit Insurance Corporation.
Most savings institutions belong to the
Savings Association Insurance Fund.
