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FDIC Insurance Information
State Bank of Southern Utah is a member of the FDIC, which means that all of your eligible deposits are insured against loss in the event of a bank failure.
To help calm the fear that has gripped financial markets Congress included in the $700 billion bailout package a directive for the FDIC to temporarily increase deposit insurance coverage to $250K per depositor, per institution, per ownership category. The increased coverage continues through December 31, 2009, at which time we expect that coverage will revert back to $100K per depositor, per institution, per ownership category. The good news is that FDIC insurance can easily be multiplied well above the base coverage amount at the same institution by placing money into accounts under different ownership categories. For example, a Pay-on-Death account with two owners and three beneficiaries is currently insured up to $1.5 million (2 owners x 3 beneficiaries x $250K = $1.5 million).
The most common ownership possibilities for FDIC insurance are as follows (each category is insured separately):
- Single: You are the only signer or the account is for a sole proprietor business.
- Joint: You and someone else jointly own an account and have signed the signature card.
- Informal Trust: Living Trusts, Pay on Death (POD), In Trust For (ITF) or other revokable trust.
- Formal Trust: Account is governed by a formal trust document that cannot be revoked or changed.
- Retirement: IRA accounts at the bank fall under this category and are insured up to $250K.
- Organization: Most business entities fall under this category.
Please see a new account representative to make the most of your FDIC Insurance.
Electronic Deposit Insurance Estimator
FDIC Insurance up to $50 Million with CDARS
