History offers a cautionary tale in that regard. As we learned in the late 80's, the deposit insurance funds stand between bank failures and the American taxpayer. The Bank Insurance Fund reserve ratio has not grown in the last three years. While the amount of money in the funds has grown, the amount of deposits the insurance fund must cover has grown also. Deposit growth can affect the strength of the deposit insurance funds significantly.
Deposits fluctuate - sometimes greatly.
Losses fluctuate greatly, too. These losses were, for the most part, unexpected. We live in a volatile world. And while some banks are seeking rebates, it is important to note that more than nine out of ten banks and thrifts currently pay no insurance premiums. If Congress decides to mandate rebates, despite the concerns, it should be done in the context of reforms that strengthen the banking system and strengthen the deposit insurance system - and that do not distort economic incentives.