FDIC Question

[Roma]

$200,000 = joint account (H&W) husband and wife
$100,000 = single account (H)
$100,000 = single account (W)
$100,000 = single P.O.D. account (H with W as beneficiary)
$100,000 = single P.O.D. account (W with H as beneficiary)
Depending on how many beneficiaries you have, the P.O.D.'s could go on and on.

All the above is covered by the FDIC in one bank.


But if the Bill passes the House Friday then the FDIC will be raised to $250,000 per insured bank. I would assume that to mean that the joint accounts will be covered to $500,000 and the single and P.O.D accounts covered each at $250,000 but check with the FDIC first.

[Wirelessany1]

Originally Posted by Hobokenkitchen

Maybe per person - as a couple you can have more in one bank. As I said, we actually called the FDIC (twice in fact) and asked the same question. They both said $100,000 in each individual account and $200,000 in a joint for a total of $400,000.

That is correct information. In addition to this you can have additional funds in the same bank and be insured by structuring your accounts properly.

According to the FDIC an owner of a POD account is insured up to $100,000 for each beneficiary if all of the following requirements are met:

The account title must include a commonly accepted term such as "payable-on-death," "in trust for," "as trustee for" or similar language to indicate the existence of a trust relationship. The term may be abbreviated (for example "POD," "ITF" or "ATF").
The beneficiaries must be identified by name in the deposit account records of the insured bank. The beneficiaries must be "qualifying," meaning that the beneficiaries must be the owner's spouse, child, grandchild, parent, or sibling. Adopted and step children, grandchildren, parents, and siblings also qualify. Others including in-laws, cousins, nieces and nephews, friends, organizations (including charities) and trusts do not qualify.

So as you can see, denpending on how many qualifying benficiaries you have, you can be covered for much more.

Now that we have that all settled, let me ask you guys a question. Do you think the leadership teams from companies like Macy's, Target, Walmart, or NFL teams like the Dallas Cowboys or San Diego Chargers
worry about keeping under 100k a bank account? No they don't. They choose to bank with a bank that has a strong, ethical, smart, leadership team; a very strong balance sheet, and solid lending practices.

take care, ana

[cardinal2007]

Effective today the FDIC insurance limit has been temporarily raised to $250,000.

FDIC: FIL-102-2008: FDIC Deposit Insurance Coverage (http://www.fdic.gov/news/news/financial/2008/fil08102a.html - broken link)

This is effective until Dec 31, 2009. Essentially what Roma said, but with double the amounts is the case from now until the end of next year.