Our elders have long held a distrust of banks. “They’ll take our money,” they say as they store money under their mattresses. While there’s precedent for their doubt, banking can be safe for us. To further ensure the safety of our money, especially amid bank collapse, these guidelines will help.
#1 Bank FDIC
The entire purpose of the FDIC is to insure money in the bank. Typically, if the FDIC insures a bank, each account holder has coverage of up to $250,000, though the amount can vary. That means the FDIC guarantees any money up to that amount, even in the event of bank failure.
#2 Diversify
Having accounts across multiple banks guarantees FDIC coverage for each account and provides the opportunity to choose products other than checking and savings accounts.
Staying current on what’s happening in the finance world is essential to know how your bank is performing. Moving your money may be wise if your bank’s health looks less than optimal.
The fear of bank collapse is real, but it’s essential to feel safe when we bank. Being properly informed about how to protect our money can do that. By educating our community on bank safety, we can safeguard their financial lifelines.