FDIC general deposit insurance coverage increased from $100,000 to $250,000 per depositor through December 31, 2013.
First National Bank of Chester County is participating in the Transaction Account Guarantee Program. Under that program, through December 31, 2010, all non – interest earning transaction accounts and interest earning transactional accounts earning interest rates of 0.25% or less are fully guaranteed by the FDIC for the entire amount in the account. A transfer or sweep transaction from a non-interest bearing account to a higher interest bearing account with a rate higher than 0.25% would be subject to FDIC coverage as defined above.
Coverage under the Transaction Account Guarantee Program is in addition to and separate from the coverage under the FDIC’s general deposit insurance rules. |
The Federal Deposit Insurance Corporation (FDIC), an independent agency of the United States protects you against the loss of insured deposits should an FDIC insured bank fail. FDIC deposit insurance is backed by the full faith of the United States government. Since being established in 1933, no depositor has ever lost a single penny of FDIC insured funds.
FDIC insurance covers all deposit accounts at an FDIC insured bank, such as checking, savings, money market deposits accounts and certificates of deposit.
It does not insure the money invested in stocks, bonds, mutual funds, insurance policies or annuities, even if you purchased from an FDIC insured bank.
The FDIC’s general deposit insurance coverage limits in an FDIC insured bank is up to $250,000 per depositor and $250,000 per owner for certain retirement accounts. You may qualify for more than $250,000 in coverage if you own accounts in different ownership categories.
| Single Accounts: |
insured up to $250,000 |
| Joint Accounts (ownership is 50/50): |
insured up to $500,000
($250,000 for each individual) |
| IRA deposits: |
insured up to $250,000 per plan depositor |
| Accounts registered in a Living Trust: |
insured up to $250,000 per owner, per beneficiary |
Below is an example of how coverage on accounts other than those covered by the Transaction Account Guarantee Program may be increased beyond $250,000.*
Mary |
Statement Savings Account |
$250,000 |
Bob |
IRA Account |
$250,000 |
Mary and Bob (50/50 ownership) |
Statement Savings Account |
$500,000 |
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Visit the FDIC website, www.fdic.gov, for further information on how your deposits are insured. The site also provides an estimator, Electronic Deposit Insurance Estimator (EDIE) which assists in calculating the insurance coverage of your accounts at an FDIC insured bank. To access EDIE, go to www.fdic.gov/edie.
*Before changing ownership on any account to maximize FDIC coverage, it is highly recommended to contact a financial advisor or the FDIC website concerning account ownership categories.
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