Federal Savings And Loan Insurance Corporation (FSLIC)
Contents
Exploring the Legacy of the Federal Savings And Loan Insurance Corporation (FSLIC)
Unveiling the History of FSLIC
Delve into the origins and role of the Federal Savings and Loan Insurance Corporation (FSLIC), established in 1934 to safeguard the savings and loan industry following the Great Depression. Learn about its functions and the events leading to its dissolution in the late 1980s.
Understanding the FSLIC's Impact
Explore how the FSLIC provided deposit insurance, the challenges it faced during the savings and loan crisis, and the eventual transfer of its responsibilities to the Resolution Trust Corporation (RTC) and later to the Federal Deposit Insurance Corporation (FDIC).
Fact:
- Savings and Loan Crisis: The savings and loan crisis strained FSLIC's finances and led to its abolition by the Financial Institutions Reform, Recovery, and Enforcement Act of 1989 (FIRREA). (Source)
Fact:
- Estimated Costs: Estimates to save the FSLIC ranged from $30 billion to $50 billion, leading to its eventual dissolution and the creation of the FSLIC Resolution Fund. (Source)
Fact:
- Post-Dissolution Transition: The Resolution Trust Corporation (RTC) assumed FSLIC's responsibilities until it merged into the Federal Deposit Insurance Corporation (FDIC) six years later. (Source)
The Modern Landscape of Savings and Loan Insurance
Discover how the savings and loan industry is insured today, including insights into the expansion of deposit insurance coverage under the Dodd-Frank Wall Street Reform and Consumer Protection Act.