Are the deposits in my bank insured?

Yes, if your deposits are in a financial institution in which the FDIC has provided insurance.

The Federal Deposit Insurance Corporation, or FDIC, is an independent agency of the United States government. The FDIC protects an account owner's deposits in the unlikely event of the failure of the insured bank or savings institution.

FDIC deposit insurance covers the balance of each depositor's account, dollar-for-dollar, up to the insurance limit, including principal and any accrued interest through the date of the insured bank's closing. The FDIC insures all types of deposits received by a financial institution including:

  • checking accounts
  • NOW accounts
  • savings accounts
  • money market deposit accounts
  • certificates of deposit (CDs)

The FDIC does not insure the money you invest in the following products, even if they were purchased from an insured bank:

  • stocks
  • bonds
  • mutual funds
  • life insurance policies
  • annuities
  • municipal securities

For more information about deposit insurance, see the FDIC's web page.

January 2010