FDIC Insurance
FDIC Insurance Coverage Now $250,000
The Federal Deposit Insurance Corporation (FDIC) is an independent agency of the United States government that protects against the loss of insured deposits if an FDIC-insured bank or savings institution fails. FDIC deposit insurance is backed by the full faith and credit of the United States government. Since the FDIC was established, no depositor has ever lost a single penny of FDIC-insured funds.
FDIC insurance covers funds in deposit accounts including checking and savings accounts, money market deposit accounts, and certificates of deposit (CDs) accounts. FDIC insurance does not, however, cover other financial products and services that insured banks may offer, such as stocks, bonds, mutual fund shares, life insurance policies, annuities or municipal securities.
FDIC deposit insurance coverage is automatic. Depositors do not need to apply or even request coverage.
Basic FDIC Deposit Insurance Coverage Limits*
- Single Accounts (owned by one person) $250,000 per owner
- Joint Accounts (two or more persons) $250,000 per co-owner
- IRAs and certain other retirement accounts $250,000 per owner
- Trust Accounts $250,000 per owner per beneficiary subject to limitations and requirements
*Note: These deposit insurance coverage limits refer to the total of all deposits that an account holder(s) has at each FDIC-insured bank. The listing above shows only the most common ownership categories that apply to individual and family deposits, and assumes that all FDIC requirements are met.
Notice of Changes in Temporary FDIC Insurance
Coverage for Transaction Accounts
All funds in a "noninterest-bearing transaction account" are insured in full by the Federal Deposit Insurance Corporation from December 31, 2010, through December 31, 2012. This temporary unlimited coverage is in addition to, and separate from, the coverage of at least $250,000 available to depositors under the FDIC’s general deposit insurance rules.
The term "noninterest-bearing transaction account" includes a traditional checking account or demand deposit account on which the insured depository institution pays no interest. It also includes interest on Lawyers Trust Accounts ("IOLTAs"). It does not include other accounts, such as traditional checking or demand deposit accounts that may earn interest, NOW accounts, and money-market deposit accounts.
For more information about temporary FDIC insurance coverage of transaction accounts, visit www.FDIC.gov.
