I am trying to understand the per account type per person limit of 250k FDIC insurance. That means for each bank a married couple can have max 1m deposit insured - 250k husband solo account, 250k wife solo account, 500k couple joint account. Is that correct? #personalfinance
It’s per account, not per person
AFAIK, every bank will give you 250k FDIC insurance. So if you put your money in different banks, you can a lot of money insured.
I thought it was per a bank, not per account.
FDIC insurance is per account. Not crazy because fdic collects fees from all banks and has rainy day fund and can be deployed when needed. In addition, banks are spending on some form of iou. Those ious may be illiquid but fdic can return deposit money today and wait till the illiquid asset can be moved.
Per account. That’s how some firms like Robinhood offer 1.5M FDIC coverage. https://robinhood.com/us/en/support/articles/deposit-sweep-program/
It is per person per bank per account type. Single account and joint account are two different account types. Hence as OP said, a couple can technically have 1M in the same bank in three accounts - useful when you want to temporarily store some huge amounts of money.
i think its per account ?