Is My Money Safe?

Make sure your funds are fully protected by depositing them in a federally insured institution. While most banks and savings institutions are federally insured, a few are not (including some far-away institutions that offer high-rate accounts in the newspaper or over the Internet).

The Federal Deposit Insurance Corporation (FDIC) protects bank and savings association depositors up to $100,000 at each institution. FDIC-insured institutions must display an official sign at each teller window or teller station. You can also verify whether an institution is FDIC-insured by searching insured banks on the FDIC's website or calling the FDIC's Division of Compliance and Consumer Affairs (DCA) toll-free at 800-934-3342.

Depending on how your bank accounts are structured, you can even have hundreds of thousands of dollars in one bank and still be fully protected. You do not need to worry if you or your family has less than $100,000 in all your accounts at the same bank. But if your combined accounts total $100,000 or more, make sure they are within the insurance limit. If you have questions, speak with a DCA deposit insurance specialist (call 800-934-3342). Remember, too, that FDIC insurance covers only deposits. Mutual funds or annuities you buy at your bank are investments, not deposits. That is why the FDIC does not insure them against loss.

Questions about federal deposit insurance at credit unions should be directed to the National Credit Union Administration (telephone 703-518-6300; address: 1775 Duke Street, Alexandria, Virginia 22314-3428).