Picking up where it left off last April, the Federal Deposit Insurance Corp. (FDIC) is again seeking input from the public on how the agency might revise and clarify its official sign and advertising rules for deposit insurance amid the growing use of online channels. This time, however, it said it also plans to issue a proposal addressing the misuse of the FDIC official sign and logo.
A notice of the renewed request for information (RFI) is slated for publication in Friday’s Federal Register. In that notice, reg FDIC said the RFI is to inform the agency’s efforts to align the policy objectives of its rules with how today’s banks and savings associations offer deposit products and services and how consumers connect with banks and savings associations, including through evolving channels. It is also seeking information about how technological or other solutions could be used to help consumers better distinguish FDIC-insured institutions from non-FDIC-insured institutions, particularly across web and digital channels.
The agency initially issued an RFI on this topic in February 2020, but it announced a pause in that work two months later amid the ongoing pandemic. However, the agency this time said it also expects to issue a proposed rule addressing misrepresentations about deposit insurance, with that proposal to be issued and managed alongside the larger modernization effort.
“In light of an increasing number of instances where people or entities have misused the FDIC’s name or logo or have made misrepresentations that would falsely suggest to the public that their products are FDIC-insured, the FDIC expects to issue a notice of proposed rulemaking seeking comment on a proposed rule regarding misrepresentations about deposit insurance and misuse of the FDIC’s name or logo,” the agency said. “The FDIC intends to engage in its efforts to modernize the FDIC official sign and advertising requirements and its rulemaking regarding misrepresentations about deposit insurance in tandem and on a coordinated basis.”
The RFI will be out for a 45-day comment period.