The OCC's Objectives

The OCC's activities are predicated on four objectives that support the OCC's mission to ensure a stable and competitive national banking system. The four objectives are:

1. To ensure the safety and soundness of the national banking system.

2. To foster competition by allowing banks to offer new products and services.

3. To improve the efficiency and effectiveness of OCC supervision, including reducing regulatory burden.

4. To ensure fair and equal access to financial services for all Americans.

OCC Funding

The OCC does not receive any appropriations from Congress. Instead, its operations are funded primarily by assessments (charging a fee) on national banks. National banks pay for their examinations, and they pay for the OCC's processing of their corporate applications. The OCC also receives revenue from its investment income, primarily from investments in U.S. Treasury securities.

Insurance of Bank Deposits by the Federal Deposit Insurance Corporation (FDIC)

The FDIC insures the deposits in all member banks in the United States. The basic insurance amount at inception was $100,000 per depositor, per insured bank until it was increased to $250,000 in response to the 2008 financial meltdown. This was done on a limited temporary basis (until 2013) to prevent customers of “shaky” banks from creating runs on those banks (a run on a bank is an event that occurs when most bank depositors withdraw their deposits from the bank to avoid incurring great losses of their deposits). The FDIC insurance amount applies to all depositors of an insured bank. For more information, the reader is invited to visit the FDIC's website: . One of the FDIC rules requires that every bank should have a clear advertisement of membership in the FDIC.[1]

  • [1] As stipulated by the authority of regulation 12 U.S.C. 1818(a), 1819 (Tenth), 1828(a): Part 328 describes the official sign of the FDIC and prescribes its use by insured depository institutions. It also prescribes the official advertising statement insured depository institutions must include in their advertisements. For purposes of part 328, the term insured, depository institution includes insured branches of a foreign depository institution. Part 328 does not apply to noninsured offices or branches of insured depository institutions located in foreign countries.
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