Assessment Rates for 2009

January 1, 2009
Below is the interim rate schedule effective January 1, 2009. These rates will apply to the June 30, 2009, debit (payment based upon the March 31 data). See Financial Institution Letter FIL-143-2008.

April 1, 2009
Below is the rate schedule effective April 1, 2009. These rates will apply to the September 30, 2009, debit (payment based upon June 30 data)

Highlights:

• Risk-Based Assessments for Risk Category I: To determine initial base assessment rates, the FDIC has: (1) introduced a new financial ratio into the financial ratios method applicable to most Risk Category I institutions to include brokered deposits above a threshold that are used to fund rapid asset growth; (2) for a large Risk Category I institution with long-term debt issuer ratings, combined weighted average CAMELS component ratings, the debt issuer ratings, and the financial ratios method assessment rate; and (3) used a new uniform amount and pricing multipliers for each method.
• Adjustments to Assessment Rates: The FDIC also has introduced three adjustments that could be made to an institution's initial base assessment rate: (1) a potential decrease for long-term unsecured debt, including senior and subordinated debt and, for small institutions, a portion of Tier 1 capital; (2) a potential increase for secured liabilities above a threshold amount; and (3) for non-Risk Category I institutions, a potential increase for brokered deposits above a threshold amount.
• Assessment Rates. For the first quarter of 2009 only, the FDIC's Board adopted new rates that will raise the current rates uniformly by seven basis points. The FDIC has established new initial base assessment rates that will be subject to adjustment as described above effective April 1, 2009.

Budgeting Assistance
Rate Calculator: The FDIC has developed an assessment rate calculator to enable any institution to determine assessment rates under the new rule.

Changes for Newly Insured Institutions
Newly insured institutions are defined as any bank or thrift that has not been chartered for at least five years as of the last day of any quarter for which it is being assessed). All newly insured institutions will be assessed as outlined below. However, per the Federal Deposit Insurance Reform Act of 2005 (“FDIRA”), exceptions to the items below might apply for: (a) new institutions owned by established institutions or holding companies with established insured institutions; (b) new insured institutions that were formerly credit unions; and (c) institutions that result from the merger of a new and an established institution. Please see Section 327.9(d)(7) of the FDIC Rules and Regulations for details on these exceptions.

1. Before January 1, 2010, and until a Risk Category I new institution receives CAMELS component ratings, it will have an initial base assessment rate that is two basis points above the minimum initial base assessment rates applicable to Risk Category I institutions. All other new institutions in Risk Category I would be treated as are established institutions except as provided in item #3 below.

2. After January 1, 2010, any new institution in Risk Category I will be assessed at the maximum initial base assessment rate applicable to Risk Category I institutions except as provided in item #3 below.

3. Either before or after January 1, 2010:

   • no new institution, regardless of risk category, would be subject to the unsecured debt adjustment;
   • any new institution, regardless of risk category, would be subject to the secured liability adjustment; and
   • a new institution in Risk Categories II, III or IV would be subject to the brokered deposit adjustment.

   After January 1, 2010, no new institution in Risk Category I would be subject to the large bank adjustment.

For More Information and Details
Please see the Final Rule.