Saturday, January 29, 2022

GOOD banking news!

Keith Dameron of Iberia Bank has passed along this valuable information:

President Obama, has signed the Dodd-Frank Wall Street Reform and Consumer Protection Act making permanent the current standard FDIC deposit insurance maximum of $250,000. Previously, FDIC deposit insurance coverage had been increased from $100,000 to $250,000, but was set to expire December 31, 2013. Everyone with deposits in that insured category has been wondering what would happen if the $250,000 maximum expired December, 2013. What would happen to their deposits in amounts between $100,000 and $250,000?

No question the expiration date that could have dropped FDIC from $250,000 down to the old maximum of $100,000 would have caused lots of issues for bank customers. Especially those with CD’s that do not mature until after the 2013 expiration date.

The announcement that the $250,000 FDIC deposit insurance coverage is now permanent should give great relief to those who otherwise would have been impacted. This is very good news. Please remember that, even though the IRA FDIC insurance maximum was raised to $250,000 a few years ago, for some reason, FDIC did not touch the NON-IRA deposit coverage until the economic downturn hit everyone.

If you want more information, you can call your bank or go to website.

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