The Federal Deposit Insurance Corporation (FDIC) has announced that it is granting temporary relief to certain financial institutions. These institutions, which manage mortgage servicing accounts, are being given until March 31, 2022, to meet specific technology and recordkeeping requirements necessary for calculating deposit insurance. This relief period is intended to allow these institutions more time to improve their systems and processing capabilities. The FDIC will continue to monitor the situation and may change or withdraw the relief if needed.
Simple Explanation
The FDIC is letting some banks have extra time, until March 31, 2022, to fix the way they keep track of money in their systems so they can accurately figure out how much insurance people’s deposits have.