Posts Tagged ‘fdic rules’
FDIC Rules for Joint Accounts
April 24th, 2006
How are joint accounts treated for FDIC insurance purposes?
The interests in all joint accounts at the same institution are added together and insured up to $100,000.
In case of a joint account owned by two persons, the maximum insurance coverage would be $200,000. This coverage is separate from, and in addition to, the insurance coverage under their individual accounts.
Accounts are shared equally unless stated differently on account records.
Example: Depositor A is an equal joint owner in four accounts at First Savings Bank
| Account Owner | Type of Account | Amount | A' share |
| A & B | Savings | $ 100,000 | $ 50,000 |
| B & A | CD | $ 25,000 | $ 12,500 |
| A & B & C | Now | $ 75,000 | $ 25,000 |
| D & A Partnership | Checking | $ 80,000 | $ 40,000 |
| Total Value | $ 127,500 | ||
| Maximum FDIC Insurance | ($100,000) | ||
| Uninsured Amount: | $ 27,500 |
Posted in FDIC | 
Tags: fdic rules, fdic rules joint accounts, insurance purposes, joint accounts | 
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FDIC Rules for Single Accounts
January 21st, 2006
How are single accounts treated for FDIC insurance purposes?
A single account or an individual account under FDIC insurance is owned by one person or entity - all single ownership accounts belonging to the same person at the same institution are added together.
The total is insured up to a maximum of $100,000. All types of accounts received by a financial institution in its usual course of business are insured such as: savings, checking, Now, Christmas club and time deposit accounts (CD's).
Example: Depositor A, an individual, maintains four accounts at First Savings Bank.
| Type of Account | Amount |
| Savings | $ 25,000 |
| CD | $ 25,000 |
| Now | $ 100,000 |
| Checking | $ 25,000 |
| Total Value | $ 175,000 |
| Maximum FDIC Insurance | $ (100,000) |
| Uninsured Amount: | $ 75,000 |