What is the role of FDIC in consumer protection?

The role of the FDIC in consumer protection primarily involves ensuring that banks and other financial institutions adhere to consumer protection laws and regulations. This includes overseeing compliance with various federal laws designed to safeguard consumers, such as the Truth in Lending Act and the Fair Housing Act.

Additionally, the FDIC engages in educational initiatives aimed at informing consumers about their rights and responsibilities when dealing with financial institutions. This aspect of the FDIC's role fosters informed decision-making among consumers, helping them to understand financial products, services, and the risks involved.

The other choices highlight functions that do not accurately reflect the FDIC's responsibilities. For example, managing consumer debts directly or providing financial assistance are not within the FDIC's scope; its focus is more on regulatory oversight and consumer education. Similarly, regulating all legal services in the financial sector exceeds the FDIC's purview, as legal services fall under different regulatory frameworks. Thus, the emphasis on adherence to laws and consumer education represents the FDIC's central role in consumer protection.