How to keep my money safe?
- Use banks that are FDIC (Federal Deposit Insurance Corporation) insured or Credit unions that are NCUA (National Credit Union Administration) insured. Individual limit of $250k. Married couples $500k for a joint account and $250k for individual accounts (total of $1M)
- Have accounts in more than one bank
- Link bank accounts to outside savings or brokerage accounts you have, so you could deposit money quickly if need be. And watch for monthly inactivity or low-balance fees.
- SIPC (Securities Investor Protection Corporation) may cover up to $500,000 in your brokerage account in the event your broker fails.
- If you have more than cash than the FDIC insures you may consider opening a cash management account, as CMAs often provide FDIC coverage beyond federal limits.
The FDIC offers an Electronic Deposit Insurance Estimator, a tool to know how much of your money is insured per financial institution.
FDIC deposit insurance covers: — Checking accounts — Negotiable Order of Withdrawal (NOW) accounts — Savings accounts — Money Market Deposit Accounts (MMDAs) — Certificates of Deposit (CDs) — Cashier’s checks — Money orders — Other official items issued by an insured bank
FDIC deposit insurance doesn’t cover: — Stock investments — Bond investments — Mutual funds — Life insurance policies — Annuities — Municipal securities — Safe deposit boxes or their contents — U.S. Treasury bills, bonds, or notes — Crypto assets
