What is the FDIC insurance cap per bank?

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Multiple Choice

What is the FDIC insurance cap per bank?

FDIC insurance is set at 250,000 dollars per depositor, per insured bank, for each account ownership category. That’s why the cap per bank is 250,000—the protection applies to each ownership category at that one bank, not across all accounts of any one person in aggregate. So if you have multiple accounts at the same bank but within the same ownership category, they’re insured up to 250,000 in total. You can potentially increase coverage by using different ownership categories (for example, separate retirement or trust accounts) or by spreading funds across different banks. For joint accounts, the coverage is 250,000 per depositor, so two people could have up to 500,000 insured for that joint account.

FDIC insurance is set at 250,000 dollars per depositor, per insured bank, for each account ownership category. That’s why the cap per bank is 250,000—the protection applies to each ownership category at that one bank, not across all accounts of any one person in aggregate. So if you have multiple accounts at the same bank but within the same ownership category, they’re insured up to 250,000 in total. You can potentially increase coverage by using different ownership categories (for example, separate retirement or trust accounts) or by spreading funds across different banks. For joint accounts, the coverage is 250,000 per depositor, so two people could have up to 500,000 insured for that joint account.

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