Alert July 01, 2008

FDIC Issues Interim Final Rule on School Financial Education Programs

The FDIC issued an interim final rule amending its regulations to permit state nonmember banks to participate or assist in financial education programs conducted on school premises where, in connection with the program, deposits are received, checks are paid, or money is lent, without the need to submit a branch application to, and receive prior approval from, the FDIC. However, any state nonmember bank that desires to engage in such financial education programs must satisfy certain conditions. The effective date of the interim rule was June 23, 2008 and comments must be received by July 23, 2008. Click here for the rule.