On July 21, 2010, President Barack Obama signed the Dodd-Frank Wall Street Reform and Consumer Protection Act, which, in part, permanently raises the current standard maximum deposit insurance amount to $250,000. The standard maximum insurance amount of $100,000 had been temporarily raised to $250,000 until December 31, 2013. The FDIC insurance coverage limit applies per depositor, per insured depository institution for each account ownership category.
"With the permanent increase of deposit insurance coverage to $250,000, depositors with CDs above $100,000 but below $250,000 will no longer have to worry about losing coverage on those CDs maturing beyond 2013," stated FDIC Chairman Sheila C. Bair. "We strongly encourage all bank depositors who have questions about their insurance coverage to go the FDIC Web site at www.fdic.gov and use our Electronic Deposit Insurance Estimator (EDIE) or call our toll-free number at 1-877-ASK-FDIC. Insured deposits provide the comfort and peace of mine to depositors that their money is 100 percent safe - provided they keep their deposit balances within the insurance limits."
RiverWood Bank is also participating in the FDIC's Transaction Account Guarantee (TAG) program which is effective through to December 31, 2010, where all noninterest-bearing transaction accounts are fully guaranteed by the FDIC for the entire amount in the account. The Dodd-FranK Act will ultimately provide unlimited FDIC insurance for noninterest-bearing transaction accounts in ALL banks effective December 31, 2010, and continuing through December 31, 2012. Thus, the new two-year coverage picks up where the current TAG program will leave off. Coverage under the TAG Program is in addition to and separate from the coverage available under the FDIC's general deposit insurance rules.
For more information on FDIC Insurance, visit with your local RiverWood Banker or go to the FDIC website at www.fdic.gov.
