RE: FDIC-insured accounts. A lot of misinformation being posted here.

[MercutioATC]

I've seen it posted here that the FDIC's $100k limit applies to each account not each person. Generally speaking, that's untrue. There are exceptions, however.

It's important to know this stuff.

From the SOURCE:

http://www.fdic.gov/deposit/deposits/insured/index.html

[NightWatcher]

1. I wish I had the problem of what to do with my hundreds of thousands of dollars

I wonder if people running to move their hundreds of thousands to dift places might be seen as somewhat of a bank run of the wealthy.

[A HERETIC I AM]

2. You might be surprised how many "working class" people have saved that kind of money...

There are plenty of teachers, firefighters, bricklayers and mechanics that have managed to save large sums of money over their lifetimes.

Not everyone with $200,000 in a bank is considered "wealthy"

[MercutioATC]

4. $100k isn't what it used to be...especially if you're talking about retirement savings.

I'm 40 and my retirement savings are almost at the $250k FDIC cap for retirement accounts...and I wouldn't consider myself wealthy, I just make retirement saving a priority.

I believe more banks will fail in the next 12-18 months and I don't want to see anybody lose money based on misinformation.

[NightWatcher]

5. but arent you smart enough to keep track of where your money is?

did you leave more than 100K in an account that might go under if a bank fails, or is your stuff all in order like it should be?

I know people with multiple hundreds and their shit is well taken care of in numerous places. A run on one bank isnt going to ruin them.

[MercutioATC]

8. I agree. But many people (especially older people) don't know.

There was a post here today about an elderly gentleman who had $200k in IndyMac. Was it all FDIC insured? I don't know.

My point is that there have been posts here that claim that if you have $100k in one account, all you have to do is open a second account and that $100k will be insured, too. That's not true. It may be true if certain specifics are observed, but the statement that the FDIC bases its $100k insurance per account is misleading.

[NightWatcher]

12. I hope no one here gets their financial planning advice from this place

poor bastards

:rofl:

[Skink]

6. Aren't there different rules for retirement savings?

[wishlist]

7. IRA type accounts are insured up to $250,000 per person per bank n/t

[MercutioATC]

10. Yep. That's why I posted the links in the OP.

[Skink]

3. Fannie and Freddie aren't really the problem it's these banks that made...

all these subprime loans.

[ananda]

9. Here are facts.

If your banking or savings institution is FDIC insured,
that means that your total deposits are insured up to
100k, meaning checking, savings, money market accounts,
and CD's that earn interest.

However, any investments you have at the institution are
NOT insured.

Last month I started moving my money out of WaMu into a
couple of other banks which are also FDIC insured.
WaMu is a very shaky, at risk bank. It IS FDIC insured,
so I am keeping a couple of accounts there, but definitely
under 100k.

Be careful out there.

Sue

[MercutioATC]

11. Actually, it's a bit more complicated than that, but you have the gist of it.

...and you're erring on the conservative side, so you won't get into any trouble.