The acting chairman of the Federal Deposit Insurance Corp. said it is "difficult at this time to anticipate the consequences" of the possible expiration of the Transaction Account Guarantee program at the end of the year because of the uncertain economic climate.

In a letter to Congress dated June 29, Martin Gruenberg said that the TAG program has "been a source of stability to both banks and their business customers in the wake of the financial crisis and economic downturn, but is just one of many factors that have led to increased stability and liquidity at U.S. banks."

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