FDIC Insurance Coverage

Extension of Temporary Increase in Standard Maximum Deposit Insurance Amount

President Obama has increased the insurance amount per depositor from $100,000 to $250,000. Can we afford that? Seems to me that the FDIC is taking quite a beating already. The increase is in effect until the end of 2013. Here’s the summary:

Summary:

On May 20, 2009, President Barack Obama signed the Helping Families Save Their Homes Act, which extends the temporary increase in the standard maximum deposit insurance amount (SMDIA) to $250,000 per depositor through December 31, 2013. This extension of the temporary $250,000 coverage limit became effective immediately upon the President's signature. The legislation provides that the SMDIA will return to $100,000 on January 1, 2014.

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