All funds in a “noninterest-bearing transaction account” are insured in full by the Federal Deposit Insurance Corporation from December 31, 2010, through December 31, 2012. This temporary unlimited coverage is in addition to, and separate from, the coverage of at least $250,000 available to depositors under the FDIC’s general deposit insurance rules.

The term “noninterest-bearing transaction account” includes a traditional checking account or demand deposit account on which the insured depository institution pays no interest. It also includes interest in Lawyers Trust Accounts (“IOLTAs”). It does not include other accounts, such as traditional checking or demand deposit accounts that may earn interest, NOW accounts, and money-market deposit accounts.

NOW accounts, money-market deposit accounts, savings accounts, and certificates of deposits are insured for at least $250,000 under the FDIC’s general deposit insurance rules. .If you have questions about maximizing your FDIC insurance coverage, speak with a State Bank of Park Rapids staff member today or log onto the FDIC’s website and use their Electronic Deposit Insurance Estimator (EDIE) at https://www.fdic.gov/edie/index.html
((NOTE, you will be leaving State Bank of Park Rapids’ website if you click on this link.
You will be routed to the FDIC’s website)

The Federal Deposit Insurance Corporation was founded in 1933 and is an independent agency of the United States government. The FDIC protects you against the loss of your deposits if an FDIC-insured bank fails. The insurance fund is funded by financial institutions.

The standard insurance level was temporarily raised from $100,000 to $250,000 in October 2008 and permanently raised to $250,000 in July 2010. Deposits held in different ownership categories, such a single or joint accounts, are separately insured. Self-directed retirement accounts, such as Individual Retirement Accounts (IRAs), are insured separately for up to $250,000. In reality, a family can have much more than the base level of fully insured deposits if they structure accounts properly.