I stand corrected. There is no FDIC fund. There are only IOUs in it signed by Uncle Sam.

When the FDIC receives its insurance premiums from banks, it invests them in US bonds (what else can it do?). Uncle Sam then spends the money it borrows. It is long gone. When the FDIC needs money, it will redeem the bonds. Uncle Sam will then have to borrow. The budget deficit will then rise.

Shades of the empty Social Security trust fund.

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