FDIC

FDIC is short for Federal Deposit Insurance Corporation. The FDIC is an independent government agency set up in 1933. FDIC insurance started on January 1, 1934.

Source: FDIC logo on the FDIC Federal Deposit Insurance Corporation website (below)

Why was FDIC created?

FDIC was created because thousands of banks were failing before 1933. The public was losing confidence in the US banking system. The FDIC created confidence by:

• insuring deposits in banks and thrift institutions
• identifying, monitoring and addressing risks to the deposit insurance funds, and
• limiting the effect on the economy and the financial system when a bank or thrift institution fails.

You can learn more about FDIC, FDIC insurance and FDIC insured money market and other FDIC related stories by following the links below.

• www.fdic.gov
• Who Started the FDIC
• FDIC insurance rules and regulations
• FDIC insurance rules and regulations for single accounts
• FDIC insurance rules and regulations for joint accounts
• FDIC and revocable trusts
• FDIC and irrevocable trusts
• FDIC History
• FDIC 1933