Bills · S 2999
IN COMMITTEE· 119TH CONGRESS
Senate BillS 2999Licensing and registrationsInterest, dividends, interest rates
Main Street Depositor Protection Act
INTRO OCT 9· LAST ACTION FEB 5
READING
7MIN
COSPONSORS
1
READER REACTIONS0 TOTAL
NO VOTES YET · BE THE FIRST
- Introduced only
LEGISLATIVE PROGRESS
STEP 2 / 8Introduced
In Committee
Reported
Passed Senate
Passed House
Conference
To President
Became Law
WHAT THE BILL DOES
AI-writtenVoters should care about this bill because it aims to strengthen financial stability and protect the backbone of the economy: small and medium-sized businesses. Many businesses rely on checking accounts to manage large sums for payroll, suppliers, and daily operations. If a bank fails, losing access to or a significant portion of these funds can be catastrophic, leading to layoffs, business closures, and economic ripple effects. This bill would significantly reduce that risk, ensuring that vital operating capital remains safe.
If this bill becomes law, it could help prevent widespread panic and bank runs during times of financial stress, as depositors with large operational balances would have less reason to withdraw their money quickly. If it doesn't become law, these businesses and entities would continue to face the risk of losing funds above the standard $250,000 limit, which could exacerbate financial crises and make it harder for the economy to recover from instability.
KEY PROVISIONS
5AI-extractedPROVISION 01
Extends federal deposit insurance to cover up to an additional $10 million for noninterest-bearing transaction accounts (like many checking accounts) at insured banks.
This significantly increases the protection for businesses and individuals who hold large amounts of operating capital in accounts that don't earn interest.
PROVISION 02
Extends similar federal insurance protection of up to an additional $10 million for noninterest-bearing transaction accounts at insured credit unions.
Ensures that credit union members receive comparable protection for their business and operational funds, maintaining parity across financial institutions.
PROVISION 03
Excludes accounts at very large, globally significant banks and branches of foreign banks from this new $10 million insurance coverage.
This targets the expanded insurance towards smaller and regional banks, potentially to avoid further subsidizing or incentivizing risk at the largest institutions.
PROVISION 04
Exempts small banks and credit unions (with less than $10 billion in assets) from certain special fees or assessment increases related to this expanded insurance during a 10-year transition period.
Prevents smaller financial institutions from being immediately burdened by the costs of this expanded coverage, supporting their competitiveness.
PROVISION 05
Requires the FDIC to develop a plan within one year to gradually incorporate these newly insured deposits into its financial calculations over a decade.
Establishes a structured approach for the federal insurer to adjust its funding and risk models to account for the increased liability over time.
SPONSORSHIP
1 + 1
R· Tennessee
YRS IN OFFICE
5
BILLS LED
27
COSPONSOR BREAKDOWNBIPARTISAN · 0%
DEM 1 REP 0 IND 0
ACTION TIMELINE
3 EVENTSFEB 5
Committee on Banking, Housing, and Urban Affairs. Hearings held.
OCT 9
Introduced in Senate
OCT 9
Read twice and referred to the Committee on Banking, Housing, and Urban Affairs.
BILL INFO
TypeSenate Bill
NumberS 2999
Congress119th
StatusIn Committee
IntroducedOct 9, 2025
Last actionFeb 5, 2026
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IN COMMITTEE· 119TH CONGRESS · BANKING, HOUSING, AND URBAN AFFAIRS COMMITTEE · INTRODUCED OCT 9, 2025
Senate BillS 2999Licensing and registrationsInterest, dividends, interest rates
Main Street Depositor Protection Act
INTRODUCED OCT 9, 2025· LAST ACTION FEB 5, 2026
PASSAGE CHANCES
—%
READING
7 min
COSPONSORS
1
COMPLEXITY
Moderate
