Comments on: What Happens When the Increased FDIC Insurance Limits Expire?

By: Mark

Mark — Thu, 04 Jun 2009 15:05:55 +0000

Edward – a non-profit (and any consumer) can open a bank account in any bank in Massachusetts that is a member of the Depositers Insurance Fund (DIF) that accepts non-resident accounts. These accounts are insured in unlimited amounts above and beyond the FDIC-insured ceiling.

By: Edward Sedawie

Edward Sedawie — Fri, 08 May 2009 18:09:26 +0000

How can a not for profit organization get around the $250,000.00 limits on the FDIC coverage?

By: Nick

Nick — Wed, 10 Dec 2008 22:19:19 +0000

I think the idea behind the expiration, is that consumer confidence will return, and the banks will be in better shape, so that the FDIC won’t really be a concern on most peoples minds, as it wasn’t really before the current recession.

By: Tim

Tim — Tue, 09 Dec 2008 20:51:07 +0000

watch out for subsidiaries

By: Craig

Craig — Tue, 09 Dec 2008 19:48:10 +0000

Nickel: Got it, thanks, wasn’t sure how exactly that worked. Wished I was in a position where that would be an issue, ha.

By: nickel

nickel — Tue, 09 Dec 2008 19:46:09 +0000

Craig: You’d have to have separate accounts at different institutions for this to work. The limits are per account holder per institution, so just opening multiple accounts at one bank doesn’t help unless they have different ownership types.

By: Craig

Craig — Tue, 09 Dec 2008 19:44:14 +0000

Very interesting, didn’t think about it because I have no reason to, not in that type of league. For a single person, wouldn’t it just be easier to have separate accounts for 100K to make sure there won’t be a problem?

By: Blue Owl Finance

Blue Owl Finance — Tue, 09 Dec 2008 18:30:15 +0000

The options of additional ownership categories and adding beneficiaries to the account are ways to extend the FDIC coverage. However, if any little of the paperwork is mistitled or mishandled, then the additional coverage could be voided.

The easiest way to secure up to $50 million is coverage to deposit your money into a bank that participates in the CDARS program.

By: Trevor

Trevor — Tue, 09 Dec 2008 14:59:44 +0000

Yea. Dylan is right.

Great informational post though. Sure taught me some new things.

By: Dylan

Dylan — Tue, 09 Dec 2008 12:40:46 +0000

A couple can further increase their FDIC coverage by each opening single name accounts that are “payable on death” to the other. That’ll give them $1.5 million ($600,000 under old limits).