Bank deposits in the US fell at a record rate in the first quarter of this year - the biggest drop in nearly 40 years. Banks lost $472 billion, according to a new report from the Federal Deposit Insurance Corporation, or FDIC. This was the biggest drop since the start of the FDIC to collect quarterly data. This comes as concerns still persist in the US banking industry. The FDIC has added 4 new companies to its list of troubled banks. The list now includes 43 companies.

Here is the chairman of the FDIC, Martin Greenberg:

"The recent banking pressure increased the withdrawal of deposits from the banking system, which caused deposit balances to decrease, this is the 4th quarter in a row and at a faster pace than in previous quarters. However, deposit withdrawals have moderated since the end of the first quarter."

The FDIC provides deposit insurance to depositors and banks. Today the standard insurance limit is $250,000 per deposit or per insured bank, meaning that if a member bank fails, the FDIC steps in to protect depositors. The decrease in deposit balances was mainly due to funds that were not insured and were above the $250,000 threshold. We may not see the full impact of the banking turmoil until the FDIC reports its second quarter results.