FAQs: FDIC Insurance

The basics you need to know about FDIC Insurance coverage.

What is the FDIC?
The FDIC - short for the Federal Deposit Insurance Corporation – is an independent agency of the United States government. The FDIC protects depositors of insured banks located in the United States against the loss of their deposits if an insured bank fails. Any person or entity can have FDIC insurance coverage in an insured bank.

A person does not have to be a U.S. citizen or resident to have his or her deposits insured by the FDIC.

What does FDIC deposit insurance cover?
FDIC insurance covers all types of deposits received at an insured bank, including deposits in a checking account, negotiable order of withdrawal (NOW) account, savings account, money market deposit account (MMDA) or time deposit such as a certificate of deposit (CD). FDIC insurance covers depositors' accounts at each insured bank, dollar-for-dollar, including principal and any accrued interest through the date of the insured bank's closing, up to the insurance limit.

The FDIC does not insure money invested in stocks, bonds, mutual funds, life insurance policies, annuities or municipal securities, even if these investments are purchased at an insured bank. The FDIC does not insure safe deposit boxes or their contents.

How much insurance coverage does the FDIC provide?
The standard deposit insurance amount is $250,000 per depositor, per insured bank, for each account ownership category.

The FDIC provides separate insurance coverage for funds depositors may have in different categories of legal ownership. The FDIC refers to these different categories as “ownership categories.” This means that a bank customer who has multiple deposits may qualify for more than $250,000 in insurance coverage if the customer’s accounts are deposited in different ownership categories and the requirements for each ownership category are met.

How can I learn more about the FDIC?
The FDIC website has lots of financial information, advice and tips.

• To read more about FDIC insurance online, visit www.fdic.gov/deposit/deposits.
• To calculate insurance coverage, use the FDIC Electronic Deposit Insurance Estimator at www.fdic.gov/edie.

Or call the agency directly at toll-free 1-877- ASK-FDIC (1-877-275-3342).