Main Street Depositor Protection Act
Analysis under review: This bill has generated analysis that may be too generic or incomplete. Clause-level evidence remains available below.
Summary
What This Bill Does
This bill greatly expands deposit insurance for noninterest-bearing transaction accounts by covering up to $10 million at certain banks and credit unions. It excludes accounts at global systemically important bank holding company subsidiaries and certain foreign bank branches, phases the expanded coverage into insurance-base calculations over time, and protects smaller institutions from special assessments or reserve-ratio increases tied solely to the expansion during a transition period.
Who Benefits and How
Businesses, nonprofits, municipalities, and other depositors that hold large noninterest-bearing transaction balances at community banks or credit unions benefit because more of those funds become federally insured. Smaller banks and credit unions may also benefit from attracting large operating-account balances without bearing immediate special-assessment costs tied solely to the new insurance expansion.
Who Bears the Burden and How
The FDIC and NCUA bear the burden of administering the broader insurance coverage and related transition plans. The federal deposit insurance system also takes on more contingent exposure for large noninterest-bearing accounts.
Key Provisions
- Expands insurance coverage up to $10 million for certain noninterest-bearing transaction accounts
- Excludes accounts at global systemically important bank holding company subsidiaries and certain foreign bank branches
- Applies a similar expansion to insured credit unions
- Requires phase-in plans for counting the expanded balances in insurance-base calculations
- Shields smaller institutions from certain assessments during the transition period
Evidence Chain:
This summary is generated from the full bill text using AI analysis. Expand "Detailed Analysis" below for identified beneficiaries/burden bearers.
At a Glance
What This Bill Does
Expands federal deposit and share insurance up to $10,000,000 for certain noninterest-bearing transaction accounts at insured depository institutions and credit unions, with exclusions for the largest banking organizations and a transition plan for assessments.
Key Policy Areas
Banking, Finance, Consumer Protection
Primary Purpose
Expands federal deposit and share insurance up to $10,000,000 for certain noninterest-bearing transaction accounts at insured depository institutions and credit unions, with exclusions for the largest banking organizations and a transition plan for assessments.
Policy Domains
Sections 1-2 - Expanded insurance for noninterest-bearing transaction accounts
Identified Gains
Contextual inference, no direct clause citation- Depositors with large noninterest-bearing transaction accounts at community banks and credit unions
- Smaller banks and credit unions that may attract those deposits
Contextual inference, no direct clause citation
Identified Costs
Contextual inference, no direct clause citation- FDIC and NCUA officials administering the expanded insurance regime
Contextual inference, no direct clause citation
Sponsors
Legislative Progress
In CommitteeCommittee on Banking, Housing, and Urban Affairs. Hearings held.
Mr. Hagerty (for himself and Ms. Alsobrooks) introduced the following …
Read twice and referred to the Committee on Banking, Housing, …
Introduced in Senate
Stakeholder Effects
cui bono?How this legislation distributes effects. Mention counts reflect frequency, not effect magnitude.
Depositors with large noninterest-bearing transaction accounts at community banks and credit unions, Smaller banks and credit unions that may attract large operating-account balances
FDIC and NCUA officials administering the expanded insurance regime
Bill Structure & Actor Mappings
Who is "The Secretary" in each section?
- "the_board"
- → National Credit Union Administration Board
- "the_corporation"
- → Federal Deposit Insurance Corporation
Key Definitions
Terms defined in this bill
A deposit or account on which no interest is paid and from which the depositor may make payments or transfers to third parties by negotiable instrument, electronic transfer, or similar means.
We use a combination of our own taxonomy and classification in addition to large language models to assess meaning and potential beneficiaries. High confidence means strong textual evidence. Always verify with the original bill text.
Learn more about our methodology