FDIC Puzzling Over New Rules for Brokered Deposits

Figuring out how to update rules for banks that buy and sell deposits is proving to be more complicated than federal regulators had expected.

The Federal Deposit Insurance Corp. has been working on a proposal for rewriting its rules governing so-called brokered deposits, which some banks sell to third-party brokers, who then place them with other banks. The FDIC is asking whether it needs to update those rules in order to allow banks to more easily partner with financial technology firms, health savings account providers and other third-party companies that sweep deposits onto banks’ balance sheets.

Figuring out how to ...