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Meet the Money Regulators

Reading the news in the financial world lately means wading through an alphabet soup of federal regulatory agencies. Here’s a quick glossary to brush up on some of those acronyms.

FDIC (Federal Deposit Insurance Corp.): The FDIC is a government corporation which insures deposits of less than $100,000 in member banks. But be careful–the FDIC only insures checking accounts, savings accounts, and certificates of deposit. Other financial products offered by many banks, including mutual funds, annuities, and life insurance are not insured.
In the News: A Deposit-Protection Primer

NCUA (National Credit Union Administration): Essentially, the NCUA provides the same protection to credit-union deposits that the FDIC provides to bank deposits.
In the News: Federal Insurance Protection Strong at Mid-Year

Fed (Federal Reserve System): The Federal Reserve System (often referred to as “The Fed”) is the central bank of the United States. The Fed is a quasi-public bank (meaning that it is a government entity that also has private components). The Fed not only functions as a central bank (i.e., a “bankers’ bank” and the government’s bank), but also exists to address the issue of bank panics, and to create balance between private banks and the responsibility of government. Ben Bernanke currently serves as the Chairman of the Board of Governors of the Federal Reserve System.
In the News: Oil Retreat Takes Pressure off Fed

Treasury (The United States Department of the Treasury): The Treasury is a Cabinet department and serves as the treasury of the US government. The Treasury collects federal taxes through the Internal Revenue Service (IRS), and prints and mints all US currency. It also recommends and implements the economic, fiscal, and currency policies of the President, regulates financial institutions chartered by the US, and enforces all finance-related laws.
In the News: Paulson Directs Push to Support Fannie, Freddie

OTS (The Office of Thrift Supervision): The OTS is an agency of the United States Department of the Treasury. As the primary regulator of federal savings associations (often called “federal thrifts”), the OTS oversees both federal savings banks and federal savings and loans. It also regulates savings and loan holding companies (SLHCs), as well as some state-chartered institutions.
In the News: Thrift Oversight Chief Wants More Loss Provisions, Fewer TV Stakeouts

OCC (The Office of the Comptroller of the Currency): The OCC charters, regulates, and oversees all national banks, in addition to the federal branches of foreign banks in the US. The OCC performs the important function of ensuring the soundness of the national banking system, promoting competition by allowing banks to offer new financial products and services, and protecting equal access to financial services.
In the News: Lawmakers Agree on Outline of Big Housing Pact

OFHEO (The Office of Federal Housing Enterprise Oversight): The OFHEO is a federal agency within the Department of Housing and Urban Development. It publishes the house price index and is responsible for making sure that these two government sponsored entities are financially safe and sound: Fannie Mae (Federal National Mortgage Association) and Freddie Mac (Federal Home Loan Mortgage Corporation).
In the News: Empowered Official Will Regulate Mortgage Giants

– Vanessa Durante

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