WASHINGTON — The Federal Deposit Insurance Corp. is expected to propose extending its blanket deposit insurance coverage tomorrow for noninterest-bearing deposits, sources said.

Such coverage is set to expire at yearend, but observers said FDIC officials want to avoid spooking business customers, who keep large checking account deposit balances for payroll processing and other purposes.

Subscribe Now

Access to authoritative analysis and perspective and our data-driven report series.

14-Day Free Trial

No credit card required. Complete access to articles, breaking news and industry data.