FDIC Proposes Changes to Deposit Insurance Limits for Businesses.
The Federal Deposit Insurance Corp. (FDIC) has suggested that lawmakers could reduce the risk of bank runs by raising deposit-insurance protection for accounts used for payroll and other business payments. The FDIC report stated that a targeted move to ensure businesses can recover money intended for such payments if a bank fails was the best of three options considered for overhauling the deposit-insurance system. Lawmakers have discussed potentially raising the deposit-insurance limit from the current $250,000 per depositor.