The US government's bedrock fund meant to protect depositors in the event of a bank failure is poised to reach its legal target ratio by the end of 2025 -- about three years ahead of schedule.
The Federal Deposit Insurance Corp., which manages the fund by levying assessments on banks, is required by law to ensure the pool of money meets a reserve ratio of at least 1.35%. At the end of 2024, the agency said the balance stood at $137.1 billion and had reached a reserve ratio of 1.28%.