FDIC insurance

[stan dardparallel]

A friend of mine has over $100,000 in his Washington Mutual saving account and I advised him to get it under $100k so it would be insured. He went to the bank and they assured him it was “guaranteed” so he left it as is. Is there another insurance program besides FDIC and FSLIC that protects him over $100k?

Also, does the FDIC insurance apply to multiple accounts if they total over $100k but each individual account is under $100k?

Thanks for reading.

[Raybyrnes]

FDIC insures 100 K per account and then up to another 100 K per beneficiary up to 300K total. If it is in a trust it may be insured up to 500K.

[Raybyrnes]

FDIC insures 100 K per account and then up to another 100 K per beneficiary up to 300K total. If it is in a trust it may be insured up to 500K.

[Raybyrnes]

FDIC insures 100 K per account and then up to another 100 K per beneficiary up to 300K total. If it is in a trust it may be insured up to 500K.

[Raybyrnes]

FDIC insures 100 K per account and then up to another 100 K per beneficiary up to 300K total. If it is in a trust it may be insured up to 500K.

[Raybyrnes]

FDIC insures 100 K per account and then up to another 100 K per beneficiary up to 300K total. If it is in a trust it may be insured up to 500K.

[bsrsharma]

Your friend, who seems fortunate to be having more than $100K in savings account, should be more skeptical of the “guarantee”. He can’t multiply the insured amount by splitting it, unless it is in different categories of accounts.

Coverage Over $100,000

The FDIC provides separate insurance coverage for deposit accounts held in different categories of ownership.

You may qualify for more than $100,000 in coverage at one insured bank if you own deposit accounts in different ownership categories.
Common Ownership Categories

The most common ownership categories are:

* Single Accounts
* Certain Retirement Accounts
* Joint Accounts
* Revocable Trust Accounts

Considering WaMu is certain to go down soon, he should definitely limit his exposure there to $100K. I am fairly certain, he will lose anything beyond that.

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

[bsrsharma]

Your friend, who seems fortunate to be having more than $100K in savings account, should be more skeptical of the “guarantee”. He can’t multiply the insured amount by splitting it, unless it is in different categories of accounts.

Coverage Over $100,000

The FDIC provides separate insurance coverage for deposit accounts held in different categories of ownership.

You may qualify for more than $100,000 in coverage at one insured bank if you own deposit accounts in different ownership categories.
Common Ownership Categories

The most common ownership categories are:

* Single Accounts
* Certain Retirement Accounts
* Joint Accounts
* Revocable Trust Accounts

Considering WaMu is certain to go down soon, he should definitely limit his exposure there to $100K. I am fairly certain, he will lose anything beyond that.

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

[bsrsharma]

Your friend, who seems fortunate to be having more than $100K in savings account, should be more skeptical of the “guarantee”. He can’t multiply the insured amount by splitting it, unless it is in different categories of accounts.

Coverage Over $100,000

The FDIC provides separate insurance coverage for deposit accounts held in different categories of ownership.

You may qualify for more than $100,000 in coverage at one insured bank if you own deposit accounts in different ownership categories.
Common Ownership Categories

The most common ownership categories are:

* Single Accounts
* Certain Retirement Accounts
* Joint Accounts
* Revocable Trust Accounts

Considering WaMu is certain to go down soon, he should definitely limit his exposure there to $100K. I am fairly certain, he will lose anything beyond that.

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

[bsrsharma]

Your friend, who seems fortunate to be having more than $100K in savings account, should be more skeptical of the “guarantee”. He can’t multiply the insured amount by splitting it, unless it is in different categories of accounts.

Coverage Over $100,000

The FDIC provides separate insurance coverage for deposit accounts held in different categories of ownership.

You may qualify for more than $100,000 in coverage at one insured bank if you own deposit accounts in different ownership categories.
Common Ownership Categories

The most common ownership categories are:

* Single Accounts
* Certain Retirement Accounts
* Joint Accounts
* Revocable Trust Accounts

Considering WaMu is certain to go down soon, he should definitely limit his exposure there to $100K. I am fairly certain, he will lose anything beyond that.

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

[bsrsharma]

Your friend, who seems fortunate to be having more than $100K in savings account, should be more skeptical of the “guarantee”. He can’t multiply the insured amount by splitting it, unless it is in different categories of accounts.

Coverage Over $100,000

The FDIC provides separate insurance coverage for deposit accounts held in different categories of ownership.

You may qualify for more than $100,000 in coverage at one insured bank if you own deposit accounts in different ownership categories.
Common Ownership Categories

The most common ownership categories are:

* Single Accounts
* Certain Retirement Accounts
* Joint Accounts
* Revocable Trust Accounts

Considering WaMu is certain to go down soon, he should definitely limit his exposure there to $100K. I am fairly certain, he will lose anything beyond that.

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

[poorsaver]

I researched this situation quite carefully, and I discovered that it’s very tricky and specific. The limit per depositor in any one institution is $100K. If you title the account as POD (payable on death), with beneficiaries, each beneficiary gets $100K in insurance, however you lose the original $100K. For example if you designate two beneficiaries, the account is insured for $200K, not $300K as you might assume. One beneficiary is $100K. The rules for beneficiaries is also very strict. They have to be blood related. The best insurance is to pull money out ahead of time and avoid the hassle of a claim. I closed my account at Indymac a month ago as it looks like it may be the next to fall.

[poorsaver]

I researched this situation quite carefully, and I discovered that it’s very tricky and specific. The limit per depositor in any one institution is $100K. If you title the account as POD (payable on death), with beneficiaries, each beneficiary gets $100K in insurance, however you lose the original $100K. For example if you designate two beneficiaries, the account is insured for $200K, not $300K as you might assume. One beneficiary is $100K. The rules for beneficiaries is also very strict. They have to be blood related. The best insurance is to pull money out ahead of time and avoid the hassle of a claim. I closed my account at Indymac a month ago as it looks like it may be the next to fall.

[poorsaver]

I researched this situation quite carefully, and I discovered that it’s very tricky and specific. The limit per depositor in any one institution is $100K. If you title the account as POD (payable on death), with beneficiaries, each beneficiary gets $100K in insurance, however you lose the original $100K. For example if you designate two beneficiaries, the account is insured for $200K, not $300K as you might assume. One beneficiary is $100K. The rules for beneficiaries is also very strict. They have to be blood related. The best insurance is to pull money out ahead of time and avoid the hassle of a claim. I closed my account at Indymac a month ago as it looks like it may be the next to fall.

[poorsaver]

I researched this situation quite carefully, and I discovered that it’s very tricky and specific. The limit per depositor in any one institution is $100K. If you title the account as POD (payable on death), with beneficiaries, each beneficiary gets $100K in insurance, however you lose the original $100K. For example if you designate two beneficiaries, the account is insured for $200K, not $300K as you might assume. One beneficiary is $100K. The rules for beneficiaries is also very strict. They have to be blood related. The best insurance is to pull money out ahead of time and avoid the hassle of a claim. I closed my account at Indymac a month ago as it looks like it may be the next to fall.

[Author]

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