Deposit insurance system

To date, the deposit insurance system in more than 100 countries. For the first time, this mechanism appeared in the U.S. since the Great Depression. Then the Glass-Steagall Act was created the Federal Deposit Insurance Corporation. Initially, the sum insured limit was only $ 5 thousand, but by 2008 this had risen to $ 100 thousand and up to 2013 standard insurance benefit has been increased to $ 250 thousand in Russia, such an organization came only in 2003 and was named the insurance system deposits. Participation in the CER is mandatory for all banks to commit funds of the population. At the end of December last year, its members were already 910 banks. Compensation deals with the state corporation "Agency on insurance of contributions." Immediately after the announcement of the bank bankrupt depositor shall be entitled to a written application and other required documents to the new administration of the credit institution, and then within 2 weeks of application will be considered and decided. The amount of compensation since the system of deposit insurance maximum amount of insurance reimbursement has increased several times. In 2003 it was 100 thousand rubles., Then the total had risen to 400 thousand rubles. Until in 2008 it reached 700 thousand rubles. This sum is provided today by the law on deposit insurance. If the deposit amount exceeds the specified size, anything above will be paid only after selling the assets of the bank. However, there is no guarantee that the funds raised will be enough to pay everyone. Meanwhile, more recently, a number of officials from the Office of the President supported the idea of ??compensation for only a portion invested in bank funds. If this idea gets legislative support, the payment of insurance compensation may be reduced to 90%. Exception to the rule, however, is not always the investor can expect to return to their own funds. So, insurance is not subject to the accounts of individuals engaged in entrepreneurial activities, contributions to the bearer, the funds transferred to the bank in trust, deposits in foreign branches of Russian banks, money transfers without opening an account, as well as funds for unallocated bullion accounts. Experts do not doubt the deposit insurance system is an effective tool. Thus, in the event of liquidation or bankruptcy of the bank, its customers in the shortest time access to their funds, allowing not only to prevent panic among depositors, and to quickly overcome the consequences of the crisis, but also causes people's confidence in lending institutions. As a result, with 92 cases recorded during the time of CERs, the money was returned almost 600 thousand investors.