Bill · S. 4198· Senate(119-S-4198)
Main Street Depositor Protection Act
- Introduced
- 3/25/2026
- Last activity
- 3/25/2026 — Read twice and referred to the Committee on Banking, Housing, and Urban Affairs.
- Sponsored by
- Bill Hagerty
- Cosponsors
- - 3 - 3
- Introduced
- In Committee
What this bill would do
The "Main Street Depositor Protection Act" aims to amend the Federal Deposit Insurance Act and the Federal Credit Union Act. It introduces deposit insurance for noninterest-bearing transaction accounts at depository institutions and credit unions. The Corporation will establish a rule setting a maximum insurance amount for these accounts, which cannot exceed $5,000,000. This insurance coverage is subject to specific exclusions for certain large bank holding companies and foreign bank branches. Additionally, the bill requires a ten-year plan to gradually increase the inclusion of these deposits in certain determinations.
Yes· 3 of 7
Does this make it easier to run a small business?+5
The bill protects smaller depository institutions by exempting them from certain special assessments or increases during the transition period.
Would households on low incomes be better off under this?+4
The bill enhances the security of liquid assets held in noninterest-bearing transaction accounts.
Would middle-income households be better off under this?+4
The bill provides increased insurance coverage for noninterest-bearing transaction accounts up to $5,000,000.
The opposite
No question was scored the opposite.
Who it would affect, and how
Potential Positive Impacts for People
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Increased Insurance Coverage: The bill provides insurance for noninterest-bearing transaction accounts, which are accounts where interest is not paid and withdrawals can be made easily (Section 2(a)(1)(ii)(II)).
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Financial Stability and Economic Growth: The rule establishing the maximum insurance amount will be based on considerations of enhancing financial stability of the banking system and promoting economic growth (Section 2(a)(1)(ii)(II)).
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Protection for Smaller Institutions: During the transition period, depository institutions with total assets of $10,000,000,000 or less will not be required to pay certain special assessments or assessment increases related to this new insurance (Section 2(a)(3)).
Potential Negative Impacts for People
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Exclusions for Certain Banks: The insurance for noninterest-bearing transaction accounts may not apply to deposits at any insured depository institution that is a subsidiary of a bank holding company identified as a global systemically important BHC, nor to any insured branch of a foreign bank (Section 2(a)(1)(ii)(IV)).
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Regulatory Limits on Evasion: Regulations may be used to prohibit institutions or third parties from attempting to evade the specific insurance limitations established by this act (Section 2(d)).
Groups and Interests Ranking
Every group the model scored this bill for, from -10 to +10. Hover a score for the reason it gave.
- Demographic And Interest Groups
- Good For Business Owners+4Good For Low Income Households+4Good For Middle Class Households+4Good For High Income Households+2Good For Urban Residents+2
- Economy And Finance
- Improves Small Business Support+5Improves Economic Growth+3
- 3/25/2026
- Read twice and referred to the Committee on Banking, Housing, and Urban Affairs.
- 6 Cosponsors added.
- Introduced in Senate
2 bills Congress.gov lists as related to this one — companions in the other chamber, earlier versions, and bills this one absorbed or was folded into.
Angela AlsobrooksDemocrat · Maryland
Jim BanksRepublican · Indiana
Catherine Cortez MastoDemocrat · Nevada
Ruben GallegoDemocrat · Arizona
Cindy Hyde-SmithRepublican · Mississippi
Roger WickerRepublican · Mississippi