The US FDIC has seen the reserve fund vanish in the last 18 months due to over 100 bank closures in US. The US FDIC is expecting to improve the reserve fund by asking all the big US banks to pay the annual fees for the next three years in advance.
The move is expected to bring lot of resistance from the banks because the entire banking system is yet to come out of the financial crisis. But US FDIC might be forced to implement the move only because there are no better options available for improving the reserve fund. The US government is already running on massive budget deficit and hence it may have asked the US FDIC to seek funds from other routes.
US FDIC wants banks to pay 3 years fees in advance