FDIC Update
On July 21, 2010, President Barack Obama signed the Dodd-Frank Wall Street Reform and Consumer Protection Act into law, which, in part, permanently raises the current standard maximum deposit insurance amount (SMDIA) to $250,000. The FDIC insurance coverage limit applies per depositor, per insured depository institution for each account ownership category. Consumers and bankers can find additional information regarding FDIC's deposit insurance coverage through the use of the FDIC's Electronic Deposit Insurance Estimator (EDIE) and deposit insurance publications located on the FDIC's website "Are My Deposits Insured'" In addition, they can call the FDIC at 1-877-ASK-FDIC (1-877-275-3342).
Notice of Changes in Temporary FDIC Insurance Coverage for Transaction Accounts
All funds in a "non-interest-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 "non interest-bearing 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, money-market
deposit accounts.
For more information about temporary FDIC insurance coverage
of transaction accounts, visit www.fdic.gov.
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