What Does Federal Savings And Loan Insurance Corporation Mean?
The Federal Savings and Loan Insurance Corporation (FSLIC) is a former government institution that used to insure bank deposits up to a certain limit. The FSLIC was abolished in 1989 and its assets were transferred to the Savings Association Insurance Fund.
Insuranceopedia Explains Federal Savings And Loan Insurance Corporation
The Federal Savings and Loan Insurance Corporation was established in 1939. From its inception, the aim of the Corporation was to protect bank deposits in case the financial institution that issued it went bankrupt. The maximum amount the FSLIC insured was $100,000.
In 1989, the FSLIC couldn't prevent the collapse of some banking institutions and was already getting money from taxpayers to continue its operations. Eventually, it went defunct.