Related Financial Services - The following Debt Consolidation Loan Directory listings of companies are offered to assist you with gaining control of your personal finances and the management of your money. Also, feel free to review the rest of the sub-directories on DebtConsolidationLoan.com to shop for other finance products, such as credit cards and mortgage refinancing.
- Personal Debt Consolidation Loan - Looking for a personal loan to consolidate your credit cards? These loans are usually unsecured, meaning you are not required to provide collateral. Approval is often based upon factors as your income, credit and job history.
- Debt Consolidation Settlement - Too much debt? List of companies providing this alternative to bankruptcy that provides for debt negotiation and arbitration services for those that need to eliminate debt.
- Debt Management Counseling - Too many credit cards and other bills to make monthly payments on? Start here by reviewing and comparing different debt management options for getting help with your credit card bills and other monthly obligations.
Protect All Your Deposits with FDIC Insurance
If you or your family have more than $100,000 at one institution, it makes sense to periodically review your coverage and, if necessary, make adjustments
Fortunately, bank failures have been rare in recent years, largely because of a strong U.S. economy and high standards that FDIC-insured institutions must meet for financial strength and stability. In the unlikely event that a bank were to fail, the FDIC would promptly pay every penny of a customer's insured deposits, including principal and interest, up to the insurance limit.
But while the overwhelming majority of depositors at failed institutions had all their funds within the federal limit, there have been customers who did not realize that some of their accounts were over the limit and uninsured. Those customers lost some or all of that excess amount (depending on how much money the FDIC recovered selling the failed institution's assets). Here's what you can do to fully protect yourself from loss by taking full advantage of FDIC insurance.
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Remember that the basic insurance limit is $100,000 per depositor per insured bank, but you may qualify for more coverage than that. If you or your family have $100,000 or less in all of your deposit accounts at the same insured bank, you don't need to worry about your insurance coverage because your funds are fully insured. However, it is possible to have more than $100,000 at one bank and still be fully insured. Here's how:
- Joint accounts (those owned by two or more people who have equal withdrawal rights) are insured up to $100,000 per co-owner. For example, one or more joint accounts owned by a husband and wife at the same bank would be insured up to a combined limit of $200,000 – $100,000 for each spouse.
- If you have deposit accounts in different "ownership categories," these funds are separately insured. That means your deposits in single accounts (in your name only), joint accounts, and revocable trust accounts (which will pass to one or more named beneficiaries when the account owner dies) are each separately insured.
For example, if you have one or more single accounts in your name alone (insured up to $100,000), your spouse has one or more single accounts in his or her name alone (insured to $100,000), and you and your spouse together have one or more joint accounts at the same bank (insured to $200,000), the total FDIC coverage at that bank for you and your spouse is $400,000. - Revocable trust accounts are insured up to $100,000 per owner for each "qualifying" beneficiary named in the account, separately from any money you may have in single and joint accounts. A qualifying beneficiary is a spouse, child, grandchild, parent or sibling. (Others who might be named in the account, including in-laws, cousins, nieces, nephews, friends, charities and trusts, are not considered qualifying beneficiaries for deposit insurance purposes.) So, if you have a revocable trust naming two qualifying beneficiaries – let's say your spouse and a child – it would be insured up to $200,000.
- Federal law also provides up to $250,000 in deposit insurance coverage for certain retirement accounts, such as Individual Retirement Accounts (IRAs). Check with the FDIC to learn more about what types of retirement deposits qualify for up to $250,000 in coverage. Here again, deposits in this insurance category are separately insured from your other accounts at the same bank.
"People are usually amazed when they call us for information about their insurance coverage and learn just how much deposit insurance coverage they can get at one insured bank or savings association," said Kathleen Nagle, Chief of FDIC's Deposit Insurance Section. "There are lots of ways to qualify for additional insurance coverage, but it's important to understand there are requirements that apply to receive that extra coverage. That's why we always encourage folks to check out our Web site or talk to one of our deposit insurance experts."
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Winter 2006-2007 |
Your Coverage Qualifications |
Review Your Insurance Coverage | |
FDIC Consumer News is published by the Federal Deposit Insurance Corporation
FDIC Consumer News is produced quarterly by the FDIC Office of Public Affairs in cooperation with other Divisions and Offices. It is intended to present information in a nontechnical way and is not intended to be a legal interpretation of FDIC or other government regulations and policies. Mention of a product, service or company does not constitute an endorsement.
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Last updated on 2/1/2007