Top House Republican Skeptical Of Calls To Raise FDIC Insurance Cap: ‘More Risk Taking In The Financial Sector’

A top House Republican expressed skepticism about calls to increase the federal bank deposit insurance cap.

House Financial Services Committee Chairman Patrick McHenry (R-NC) cast doubt on such proposals Sunday on CBS News’s “Face the Nation.” Democrats have floated raising the FDIC bank deposit insurance cap from $250,000 to between $2-10 million. But McHenry said that Congress needs to balance the costs and risks to the financial system before making such a consequential change.

“It’s the first time I’ve heard a proposal like that,” McHenry said. “And I have not had a single conversation with the White House or the administration about deposit insurance, changing the levels. What I will do though, legislatively, and in an oversight function is to determine whether or not we need to

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