On November 18, the FDIC announced it would extend the comment period for its NPRM on recordkeeping for custodial deposit accounts by 45 days. The initial comment period, which began on October 2 was set to close on December 2 but has now been extended to January 16, 2025, to allow interested parties more time to analyze the proposal and prepare comments.

As previously covered by InfoBytes, the FDIC released this NPRM aimed at strengthening recordkeeping requirements for banks holding deposits from third-party non-bank companies (i.e., fintechs).

The proposed rule aims to enhance the recordkeeping requirements for FDIC-insured depository institutions to ensure the protections of beneficial owners and depositors under federal deposit insurance. Comments can be submitted via the FDIC’s website, email, mail or hand delivery and comments will be public.