Federal deposit insurance protecting bank deposits up to $250,000 per depositor, per bank, per ownership category.
It is automatic at FDIC-member banks — no enrollment needed. Amounts above the limit, or accounts at non-member institutions, are not protected; large balances are sometimes split across banks to stay fully insured.
Example: A $300,000 balance at one bank has $50,000 uninsured; splitting it across two banks insures all of it.
FAQ
What is FDIC Insurance in simple terms?
It is automatic at FDIC-member banks — no enrollment needed. Amounts above the limit, or accounts at non-member institutions, are not protected; large balances are sometimes split across banks to stay fully insured.