Male: Hi everybody, glad you joined us. We’ve had a lot of questions on email and on our national radio show about FDIC, Federal Deposit Insurance Corporations.
Female: Of course we’re getting those questions. You can open up the newspapers any morning now and check the business section and then hear about those--banks.
Male: Exactly. So, what we’re going to do in the next couple of minutes is at least give you an idea of--a rough idea of what the FDIC covers and what id doesn’t cover. Before I forget, fdic.gov if you’re concern you can read all you want about it. We’ll spend a couple of minutes, fdic.gov. It doesn’t cover mutual funds and investments and stuff, you’re talking cash.
Female: No, I think it covers you know—
Male: Cash and cash equivalents.
Female: Exactly, CDs, money market accounts not money market mutual funds, money market accounts and things of that nature that’s offered as an investment by your bank, not range of motion mutual fund companies, not stocks, not bonds and none of that other stuff.
Male: Here’s how much it covers—
Female: You know but I just want to say one thing, it’s very important you pay attention to it in this environment because we have a lot of banks.
Male: And that’s true.
Female: This is not the time for you to say, “Well, I’m only $20,000.00 over.
Male: Be careful, $100,000.00 here’s the coverage. $100,000.00 for qualifying account, you can go to fdic.gov and see like so you can low list of them—would be a $100,000.00 and my name would be a $100,000.00.
Female: Joint.
Male; Joint would be a $100,000.00. And a couple of things you may not know, I’ll tell you about the relatively new IRA coverage but when we’re talking a particular account name with beneficiaries in it then every beneficiary is covered for the $100,000.00, the other person named on it is covered a $100,000.00—
Female: Now, if you have IRA accounts or you know company 401k’s that are solely in the bank, your particular company because I simplified employed plans on your CD investor in the bank, you have coverage up to $250,000.00 on tax deferred retirement accounts. So, that’s an added boom. They have to raise that because you know a number of people, the dedicated CD investors IRAs have been around a long time now.
Male: They have money.
Female: And people really have the—
Male: And they’re only from 401ks—
Female: Exactly, exactly.
Male: Bottom-line is know your FDIC coverage, know what it covers and know what it doesn’t and we’ll go back to the same thing again and that is don’t forget to go to fdic.gov. And if you’re lucky enough to have like—we’re talking cash and cash equivalents. If you’re lucky enough to have a $100,000.00 in a bank and say, “It’s only a $100,000.00.” What about the interest? The interest puts it over a $100,000.00, you’re not protected, fdic.gov, be careful.
Female: Be careful.
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