Bank deposits would have a $750,000 standard insurance limit

The federal bank deposit insurer would use a $750,000 standard coverage limit and adjust it yearly for inflation. This limit would apply to bank deposits covered under the Federal Deposit Insurance Act. Adjustments would use any percentage increase in the Consumer Price Index for All Urban Consumers, a measure of consumer prices, over the latest available 12 months. Each adjusted amount would be rounded down to the nearest $10,000. The amendments would take effect 180 days after enactment. The adjustment schedule names January 1 of the year following enactment and each January 1 thereafter.

Federal bank and credit union insurance agencies would jointly study the appropriate bank deposit insurance limit and report to Congress. The Federal Deposit Insurance Corporation and the National Credit Union Administration would share this study role. The agencies would consider institutions' assets, how deposit balances are spread, the balance between insured and uninsured deposits, and effects on the deposit insurance fund. Their report would describe possible benefits, needed resources, and steps to manage the recommended limit and yearly adjustments. The joint report would be due within one year after enactment.