[Federal Register Volume 72, Number 184 (Monday, September 24, 2007)]
[Notices]
[Pages 54264-54266]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: E7-18735]


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FEDERAL DEPOSIT INSURANCE CORPORATION


Agency Information Collection Activities: Proposed Information 
Collection; Comment Request

AGENCY: Federal Deposit Insurance Corporation (FDIC).

ACTION: Notice and request for comment.

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SUMMARY: In accordance with the Paperwork Reduction Act of 1995, an 
agency may not conduct or sponsor, and the respondent is not required 
to respond to, an information collection unless it displays a currently 
valid Office of Management and Budget (OMB) control number. The FDIC is 
contemplating initiating a survey relating to large-bank deposit 
insurance account systems. Institutions with the largest number of 
deposit accounts would be asked to provide information about their 
deposit account systems to the FDIC. The FDIC is exploring new methods 
to modernize its deposit insurance determination process, whereby the 
insurance status of each depositor is determined in the event of 
failure, and information collected through the survey would be used to 
facilitate those efforts.

DATES: Comments must be submitted on or before November 23, 2007.

ADDRESSES: You may submit comments by any of the following methods:
     Agency Web Site: http://www.fdic.gov/regulations/laws/federal. Follow instructions for submitting comments on the Agency Web 
Site.
     E-mail: [email protected].
     Mail: Leneta Gregorie, Legal Division, Attention: 
Comments, Federal Deposit Insurance Corporation, 550 17th Street, NW., 
Washington, DC 20429.
     Hand Delivery/Courier: Guard station at the rear of the 
550 17th Street Building (located on F Street) on business days between 
7 a.m. and 5 p.m. (EST).

All comments should refer to ``Survey of Large-Bank Deposit Insurance 
Programs.'' Copies of comments may also be submitted to the OMB desk 
officer for the FDIC, Office of Information and Regulatory Affairs, 
Office of Management and Budget, New Executive Office Building, 
Washington, DC 20503.
    Public Inspection: All comments received will be posted without 
change to http://www.fdic.gov/regulations/laws/federal including any 
personal information provided. Comments may be inspected and 
photocopied in the FDIC Public Information Center, 3501 North Fairfax 
Drive, Room E-1002, Arlington, VA 22226, between 9 a.m. and 5 p.m. 
(EST) on business days. Paper copies of public comments may be ordered 
from the Public Information Center by telephone at (877) 275-3342 or 
(703) 562-2200.

FOR FURTHER INFORMATION CONTACT: Interested members of the public may 
obtain additional information about the collection by contacting Leneta 
Gregorie at the address identified above or by calling 202-898-3719.

SUPPLEMENTARY INFORMATION: Proposal to seek OMB approval for the 
following new collection of information:
    Title: Survey of Large-Bank Deposit Insurance Programs.
    OMB Number: New collection (3064-xxxx).
    Frequency of Response: One-time.
    Affected Public: Insured depository institutions with over 250,000 
deposit accounts and total deposit domestic accounts of at least $2 
billion, and institutions with total assets over $20 billion with less 
than 250,000 deposit accounts and total domestic deposits of at least 
$2 billion.
    Estimated Number of Respondents: 159.
    Estimated Time per Response: Estimated average of 16 hours per 
respondent.
    Estimated Total Annual Burden: 159 respondents times 16 hours per 
respondent = 2544 hours.

General Description of Collection

    In view of the significant industry consolidation in recent years, 
the FDIC is exploring new methods to modernize the process to determine 
the insurance status of each depositor in the event of a depository 
institution failure. The FDIC's current procedures to determine deposit 
insurance coverage may result in unacceptable delays if used for an 
FDIC insured institution with a large volume of deposit accounts. In 
developing a new system to determine insurance coverage, the FDIC's 
goals are to minimize disruption to depositors and communities, and 
maximize recoveries for the deposit insurance fund in the event one of 
the largest insured institutions should fail. On December 13, 2005, the 
FDIC published in the Federal Register for a 90-day comment period, an 
advance notice of proposed rulemaking (``ANPR'') seeking public comment 
on the best means to accomplish these objectives. 70 FR 73652 (Dec. 13, 
2005). On December 13, 2006, the FDIC published a follow-up ANPR 
seeking further comment on whether and how the largest insured 
depository institutions should be required to modify their deposit 
account systems to speed depositor access to funds in the event of 
failure. 71 FR 74857 (Dec. 13, 2006). The proposed survey is designed 
to help the FDIC better understand the deposit account systems used by 
the largest banks. The proposed collection and instructions, in its 
current form, are set forth in Appendix A.
    The focus of the survey is on FDIC-insured institutions with 
complex deposit systems. These include those institutions with the 
largest volume of deposit accounts, currently expected to include 152 
insured institutions with over 250,000 deposit accounts and total 
domestic deposits of at least $2 billion, as well as seven additional 
institutions with total assets over $20 billion, with less than 250,000 
deposit accounts and total domestic deposits of at least $2 billion 
(``Covered Institutions'').
    The preferred method for collecting the data is through electronic 
submission in order to minimize burden on respondents. The study will 
conform to privacy rules and will not request any information that 
could be used to identify individual bank customers, such as name, 
address, or account number. All data from participating insured 
institutions will remain confidential. It is the intent of the FDIC to 
publish only general findings of the study.

Request for Comment

    Comments are invited on: (a) Whether the collection of information 
is necessary for the proper performance of the FDIC's functions, 
including whether the information has practical utility; (b) the 
accuracy of the estimates of the burden of the information collection; 
(c) ways to enhance the quality, utility, and clarity of the 
information to be collected; (d) ways to minimize the burden of the 
information collection on respondents, including through the use of 
automated collection techniques or other forms of information 
technology; and (e) estimates of capital or start-up costs, and costs 
of operation, maintenance and purchase of services to provide the 
information.

Appendix A--Proposed Collection and Instructions Covered Institution 
Questionnaire

    Instructions. The purpose of this task is to help the FDIC further 
its understanding of banks covered by the Advance Notice of Proposed

[[Page 54265]]

Rulemaking (ANPR). This information will be used to draft detailed 
technical requirements for the Notice of Proposed Rulemaking (NPR) 
setting forth the requirements (data and operational) with which 
covered banks must comply.
    The questionnaire consists of five sections. Please ask the most 
knowledgeable person or particular section in your institution to 
answer these questions. Please record the time in minutes for you to 
complete each question. This will provide the FDIC with the time 
required to complete this questionnaire.
    Goal 1: Identification of Account Ownership. The purpose is to 
ensure that the covered institutions can uniquely identify ALL owners 
and beneficiaries for each account maintained by the institution. When 
asked by the FDIC, the institution must be able to articulate how 
accounts are uniquely identified.
    1. Does your institution have the means to identify the following 
roles involved in each deposit account?

 
                                                          Yes       No
 
a. Owners                                               .......  .......
b. Beneficiaries                                        .......  .......
c. Non-Owners                                           .......  .......
 

    2. If your institution can identify the roles involved in a deposit 
account, does this identification occur through a single data field or 
through multiple data fields?


a. Single
b. Multiple


    3. Does your institution have a means of differentiating between 
SSN and TIN at the account level?


a. Yes
b. No


    4. Does your institution maintain SSN/TIN for all the names on a 
deposit account?

 
                                                          Yes       No
 
a. Owners                                               .......  .......
b. Beneficiaries                                        .......  .......
c. Non-Owners                                           .......  .......
 

    5. What percentage of your deposit accounts contains a SSN/TIN for 
all account owners?
    6. Does your institution maintain separate fields for account 
titles and account addresses?


a. Yes
b. No


    7. If your answer to Question 6 is Yes, please provide the number 
of fields and the field length (characters)?

 
                                                      Number of   Field
                                                        fields    length
 
a. Account Title                                      .........  .......
b. Account Address                                    .........  .......
 

    8. Are multiple address fields maintained for each deposit account? 
For example, residence mailing or seasonal.


a. Yes
b. No

If Yes, how many?

    9. Does the account title contain key words/phrases that identify 
all the roles involved in the account?

 
                                                          Yes       No
 
a. Owners                                               .......  .......
b. Beneficiaries                                        .......  .......
c. Non-Owners                                           .......  .......
 

    Goal 2: FDIC Insurance Determination. The purpose is to ensure that 
the institution can provide account-level information that the FDIC can 
use to establish its insurance categories.
    1. Does your institution maintain codes that identify the following 
type of accounts?

 
                                                          Yes       No
 
a. Single                                               .......  .......
b. Joint                                                .......  .......
c. Business                                             .......  .......
d. IRA (include Roth IRA, self-directed Keoghs, and     .......  .......
 traditional IRAs)
e. Single ITF (e.g., Payable on Death and In Trust For  .......  .......
 accounts)
f. Single LIV (Revocable Living Trust account)          .......  .......
g. Department of Energy                                 .......  .......
h. Business Escrow                                      .......  .......
i. Government                                           .......  .......
j. Irrevocable Trust                                    .......  .......
k. Bureau of Indian Affairs                             .......  .......
l. Bank Owned                                           .......  .......
m. Brokerage                                            .......  .......
n. Employee Benefit Plan                                .......  .......
 

    2. Does your institution maintain account-level product categories/
product types?

 
                                                          Yes       No
 
a. DDA (Non-Interest Bearing Checking Accounts)         .......  .......
b. NOW (Interest Bearing Checking Accounts)             .......  .......
c. MMA (Money Market Accounts)                          .......  .......
d. SAV (Savings Accounts and Money Market Savings       .......  .......
 Accounts)
e. CDS (Time Deposit Accounts and Certificate of        .......  .......
 Deposit Accounts)
f. REP (Repurchase Agreements)                          .......  .......
 

    3. Does your institution maintain deposit class types?

 
                                                          Yes       No
 
a. RTL (Retail)
b. FED (Federal)
c. STATE (State)
d. COMM (Commercial)
e. CORP (Corporate)
f. BANK ( Bank Owned)
g. DUE TO (Other Banks)
 

    4. Does your institution maintain deposit class codes for the 
following categories?

 
                                                          Yes       No
 
a. Retail RTL deposit class valid code values are:
  1. Payable on Death
  2. Individual
  3. Trust
  4. Estate
  5. Attorney in Fact
  6. Minor (UTMA)
  7. Minor (UGMA)
  8. Bankruptcy Personal
  9. Pre-Need Burial
  10. Escrow
  11. Representative
  12. Payee/Beneficiary
  13. Joint
  14. Non-Minor Custodian
  15. Non-Minor Guardian
  16. Other Retail
b. STATE valid values are:
  17. City
  18. State
  19. County, Clerk of Court
  20. Other State
c. Commercial:
  21. Business Escrow
  22. Business DBA
  23. Bankruptcy
  24. Proprietorship
  25. Club
  26. Church
  27. Unincorporated Association
  28. Unincorporated Non-Profit
  29. Other Commercial
d. Corporation:
  30. Business Trust
  31. Business Agent
  32. Business Guardian
  33. Incorporated Association
  34. Incorporated Non-Profit
  35. Corporation
  36. Corporate Partnership
  37. Corporate Partnership Trust

[[Page 54266]]

 
  38. Corporate Agent
  39. Corporate Guardian
  40. Pre-Need Funeral Trust
  41. Limited Liability Incorporation
  42. LLC Partnership
  43. Lawyer Trust
  44. Realtor Trust
e. DUE TO ( Other Banks):
  45. Due to U.S. Banks
  46. Due to U.S. Branches of Foreign Banks
  47. Due to Other Deposit Institutions
  48. Due to Foreign Banks
  49. Due to Foreign Branches of U.S. Banks
  50. Due to Foreign Governments and Official
   Institutions
f. Bank:
  51. Certified and Official Checks
  52. ATM Settlement
  53. Other Bank User
g. FED:
  54. FHA
  55. Federal
 

    Goal 3: Hold Processing. The purpose is to ensure that the 
institution can apply monetary and non-monetary transactions to 
accounts en masse.
    1. Does your institution support the following types of holds?

 
                                                           Length
                                                    Yes   of hold    No
 
a. Temporary Holds
b. Term Holds
c. Partial Holds
 

    2. Can your institution support the ability to move between 
temporary holds and term holds?

a. Yes
b. No

    3. Does your institution have the ability to place holds on all 
product types?

a. Yes
b. No

    4. How does a hold affect the end-of-day schedule processing cycle?
    Goal 4: Processing Segmentation. The purpose is to ensure that the 
institution has data segmentation that can assist the FDIC in 
streamline its process.
    1. Does your institution maintain separate applications for the 
following major types of accounts?

 
                                                          Yes       No
 
a. Brokerage/Escrow Accounts
b. IRA Accounts
c. Business Accounts
d. Trust
 

    2. What is the total number of the following types of accounts 
maintained by your deposit system(s)?

 
                                                           Total number
                                                            of accounts
 
 a. Active Accounts
b. Dormant Accounts
c. Accounts with Zero Average Daily Balance
 

    3. Provide the number of accounts for each of the following dollar 
range.

 
                                                           Total number
                                                            of accounts
 
a. $5,000 or less
b. 5,000<$<=50,000
c. 50,000<$<=100,000
d. 100,000<$<=250,000
e. Greater than $250,000
 

    Goal 5: Miscellaneous Data Collection. This information will be 
used to help the FDIC streamline its insurance determination processes.
    1. How are the official items drawn on your bank handled (i.e., are 
official items drawn on your bank, paid through your bank, and 
processed by your bank)?

If not, what is your method?

    2. For official items processed by your institution, are the 
following elements of information captured and maintained 
electronically?

 
                                                          Yes       No
 
a. Check Number                                         .......  .......
b. Check Amount                                         .......  .......
c. Payee                                                .......  .......
d. Date of Issue                                        .......  .......
 

    3. What is the typical daily volume of official items processed by 
your institution? Please specify--

 
                                                                  Total
                                                      Number of   dollar
                                                        items     amount
 
a. Cashier checks                                     .........  .......
b. Interest checks                                    .........  .......
c. Bank Money Orders                                  .........  .......
d. Expense checks                                     .........  .......
e. Loan Disbursements                                 .........  .......
f. Other checks                                       .........  .......
 

    4. Do the account numbers appear on interest checks processed daily 
by your institution?

a. Yes
b. No

    5. Does your institution have an up-to-date data dictionary?

 
                                                          Yes       No
 
a. Documenting all fields                               .......  .......
b. Documenting the meaning of all codes                 .......  .......
 

    6. Does the Institution have an automated process in place to 
ensure integrity of the following:

 
                                                          Yes       No
 
a. The linkage of roles is maintained between CIF and   .......  .......
 DIF records
b. All product codes are properly maintained            .......  .......
 

    7. Does the Institution use data quality tools (ETL) to integrate 
legacy data during a merger process?

a. Yes
b. No

    8. Which of the following occurs during the acquisition process?

 
                                                          Yes       No
 
a. Legacy data is cleansed                              .......  .......
b. All roles are converted to the resulting             .......  .......
 institution codes
c. All roles are established and CIF records are        .......  .......
 created for all deposit records
 


    Dated at Washington, DC, this 15th day of September, 2007.
    Federal Deposit Insurance Corporation.
Robert Feldman,
Executive Secretary.
 [FR Doc. E7-18735 Filed 9-21-07; 8:45 am]
BILLING CODE 6714-01-P