May 20, 2009 Update:
Deposits at FDIC-insured institutions are now insured up to at least $250,000 per depositor through December 31, 2013. On January 1, 2014, the standard insurance amount will return to $100,000 per depositor for all account categories except for IRAs and other certain retirement accounts which will remain at $250,000 per depositor. This supersedes the October 3, 2008 changes which extended coverage through 2009.

Consumers will benefit directly from a provision in the new Emergency Economic Stabilization Act that immediately increased the basic FDIC insurance coverage limits on your money in insured institutions to $250,000. The new limits are fixed through December 31, 2009. There has never been a better time to keep your money in the bank!

The new temporary increased coverage not only applies to accounts held by individuals, but also accounts held by corporations, partnerships, limited liability companies and municipalities. There is no cost to the public for the FDIC insurance coverage as it is paid for through assessments on insured financial institutions. After December 31, 2009, the basic FDIC insurance coverage limit will be $100,000 except for certain retirement accounts, like IRAs, which will continue to receive FDIC insurance coverage up to $250,000.

FDIC insurance covers all types of deposits received by you at an insured bank, including deposits in checking, NOW, and savings accounts, money market deposit accounts, and certificates of deposit (CDs). Safe deposit boxes, and their contents, are not insured.

Remember, even under the prior FDIC insurance limits, there are ways to easily and legally structure your accounts at a single financial institution to receive FDIC insurance coverage in amounts greater than the basic insurance limit. Under the new temporary increased limits, for example, a husband and wife by themselves could structure multiple accounts to easily receive up to $2 million in FDIC insurance coverage, while a family of four could receive up to $3 million in FDIC insurance coverage at one insured institution. This is powerful protection!

You can sleep well at night knowing your money in your insured financial institution is protected by FDIC insurance coverage. No one has ever lost a penny of insured deposits in the 75 years of FDIC’s existence. Contact Park Bank at 414-466-8000 to understand how the new temporary increased coverage specifically benefits you.

Published by the Wisconsin Bankers Association