FDIC Coverage Limitations.


FDIC Coverage Limitations.

Biden: We think we could be in position for FDIC to secure loans above $250k if there is more instability.
The Federal Deposit Insurance Corporation (FDIC) is a U.S. government agency that provides deposit insurance to protect depositors in case a bank fails. While the FDIC provides a significant amount of protection to bank customers, there are some types of deposits and financial products that are not covered by the FDIC. Here are some examples:

  1. Investment products: Investment products such as stocks, bonds, mutual funds, and annuities are not covered by the FDIC. These products are subject to market risks and are not insured by the FDIC.
  2. Safe deposit boxes: The contents of safe deposit boxes are not insured by the FDIC. Banks may offer insurance for the contents of safe deposit boxes, but this insurance is typically separate from FDIC deposit insurance.
  3. Currency: The FDIC does not insure currency, including cash or coins. However, deposits held in FDIC-insured accounts that are denominated in foreign currencies are covered.
  4. Insurance products: Insurance products such as life insurance, health insurance, and auto insurance are not covered by the FDIC.
  5. Investments in non-FDIC insured institutions: If a bank places your money in an investment with a non-FDIC-insured institution, such as a foreign bank or an investment bank, that investment would not be covered by the FDIC.
It's important to note that FDIC deposit insurance is limited to a maximum of $250,000 per depositor, per insured bank, for each account ownership category. If you have more than $250,000 in deposits at one bank, you may want to consider spreading your deposits across multiple banks or account types to ensure that all of your deposits are fully insured.