Articles on Stock markets

News, Research and Analysis

Help Center
IntroductionMarket AbbreviationsStock Market StatisticsThinking about Your Financial FutureSearch for AdvisorsFinancial CalculatorsFinancial MediaFederal Agencies and Programs
Investment Portfolios
Investment Terminology and Instruments
Technical Analysis and Trading
Cryptocurrencies and Blockchain
Retirement
Retirement Accounts
Personal Finance
Corporate Basics

What is the Federal Savings and Loan Insurance Corporation (FSLIC)?

Created about the same time as the FDIC, the FSLIC, which insured up to $100,000 in deposits at savings and loan institutions, also known as “thrifts.” In the 1980s, the “savings and loan crisis” caused the FSLIC to become insolvent.

In 1989 it was disbanded by the FIRREA Act and replaced by the Resolution Trust Company (RTC) which was merged with the FDIC a few years later. During the 1980s, a huge number of savings and loan companies (“thrifts”) went bankrupt.

The pressure on the FSLIC, which had been established during the Great Depression to insure thrift deposits for the protection of consumers, was just too much. The FSLIC was administered by the Federal Home Loan Bank Board (FHLBB), but both of them were voided by the Financial Institutions Reform Recovery and Enforcement Act of 1989.

This came after the FSLIC had already been bailed out by taxpayers once in 1986 and once in 1987, to the tune of about $25 billion total, which is worth about $53 billion in 2016.

In 2016 the FDIC insures all consumer deposits at member institutions up to $250,000 per person/beneficiary.

What are Foreign Deposits?
Where should I put my Healthcare savings?

Keywords: consumer protection, Great Depression, FDIC, FHLBB, Savings and Loan Crisis, thrift savings and loan association,