Should You Keep Your Money in the Bank?
With all the financial turmoil and the collapse of 13 banks this year, many people are wondering whether it’s safe to leave their money in the bank. Stories have abounded of fearful people rushing to withdraw their money from savings accounts, causing runs on some banks. But before you withdraw your money and hide it under a mattress, here’s what you need to know about how your deposits are insured.
Recently, the Federal Deposit Insurance Corporation (FDIC) temporarily raised the limit on deposit insurance to $250,000 from $100,000. That measure was taken to discourage people from grabbing their money and to help support the government’s bailout package. But as the economy has continued to struggle, government officials have discussed whether the limits should be entirely removed, in effect insuring all bank deposits.
“I think that lifting the cap entirely is something that may have to be done, really, just in the next few weeks,” Camden Fine, chief executive officer of the Independent Community Bankers of America, told the Wall Street Journal.
Sad to say, many Americans don’t even have anywhere near $100,000 in savings, let alone $250,000. So in the event of a bank failure, what money they do have in a bank would be safe as long as it’s in an account that is covered by FDIC insurance.
Source
About the Author:
Francine L. Huff is a freelance journalist and the author of The 25-Day Money Makeover for Women. She has appeared on a variety of TV and radio shows.
Post written by Francine Huff
Leave a Reply
- This blog covers a wide variety of debt consolidation and loan topics.
We rely on a large network of financial experts and leading authors to write the content for the DebtHelp.com Blog.
Decling Home Values Spell Trouble For Those Looking To Consolidate Debt
Debt Settlement Companies Can Provide Valuable Assistance Consumers
- November 17, 2008–November 23, 2008
- November 10, 2008–November 16, 2008
- November 3, 2008–November 9, 2008
- October 27, 2008–November 2, 2008
- October 20, 2008–October 26, 2008
- October 13, 2008–October 19, 2008
- October 6, 2008–October 12, 2008
- September 29, 2008–October 5, 2008
- September 22, 2008–September 28, 2008
- September 15, 2008–September 21, 2008
- September 8, 2008–September 14, 2008
- September 1, 2008–September 7, 2008
- August 25, 2008–August 31, 2008
- August 18, 2008–August 24, 2008
- August 11, 2008–August 17, 2008
- July 28, 2008–August 3, 2008
- July 21, 2008–July 27, 2008
- June 16, 2008–June 22, 2008
- June 2, 2008–June 8, 2008
- March 17, 2008–March 23, 2008
- November 12, 2007–November 18, 2007
- November 5, 2007–November 11, 2007
- October 29, 2007–November 4, 2007
- October 15, 2007–October 21, 2007
- September 17, 2007–September 23, 2007
Chris Rocks is the Founder and Executive Director of the Credit Advisory Alliance (CAA). CAA is a nationwide membership-based organization that assists consumers recovering from a financial difficulty and those who need a significant increase in their credit score.
Chris began his financial services career as a Financial Advisor helping young families with risk management and asset accumulation strategies. It was during that time that Chris realized that many of these young families also needed someone to guide their choices with regards to debt management.
He made the transition into the mortgage industry where he first worked as a loan originator and later the Vice President of a small mortgage company. As Chris came across clients who had suffered through financial challenges and saw the difficulty they had in re-entering our credit driven economy, he discovered there was a real opportunity to leverage his unique background and help others.
Francine L. Huff is the Publisher and Editorial Director of Super Savvy Publishing, LLC, which provides editorial and publishing services. She is a gifted author, freelance journalist, and motivational speaker who has entertained and motivated a variety of audiences through workshops, panels and keynote addresses. Francine is the author of The 25-Day Money Makeover for Women, which has inspired and motivated many readers to reign in poor financial habits, become good stewards over their money and work toward a debt-free life. She has appeared on a variety of TV and radio shows. Francine previously worked for the Wall Street Journal, where she was the spot news bureau chief, a news editor and a copy editor. She has interviewed a variety of financial professionals about financial issues and strives to present information about managing money in an easy-to-understand format that is accessible to people of all backgrounds and income levels.
- Auto Loans (1)
- Consumer Credit Counseling (1)
- Credit Cards (2)
- Debt Advice (2)
- Debt Consolidation Options (2)
- Debt Consolidation Scams (1)
- Debt Management Options (1)
- Debt Settlement (4)
- DebtHelp.com (8)
- Economy & News (6)
- Helping Consumers (4)
- Managing Debt (1)
- Mortgage Fraud (1)
- Saving money in today's economy (15)
- Your Credit (2)
- You will receive a reminder when we post a new article to the DebtHelp Blog.
Loading ...