Changes in FDIC Deposit Insurance Coverage

December 31, 2012      As scheduled, the unlimited  insurance coverage for non-interest-bearing transaction accounts provided under  the Dodd-Frank Wall Street Reform and Consumer Protection Act expired on  December 31, 2012.  Deposits held in  non-interest-bearing transaction account are now aggregated with any  interest-bearing deposits the owner may hold in the same ownership category,  and the combined total insured up to at least $250,000.

November 9, 2010         On November 9, 2010, the FDIC issued a Final Rule  implementing section 343 of the Dodd-Frank Wall Street Reform and Consumer  Protection Act that provides for unlimited insurance coverage of non-interest-bearing  transaction accounts. Beginning December 31, 2010, through December 31, 2012,  all non-interest-bearing transaction accounts are fully insured, regardless of  the balance of the account, at all FDIC-insured institutions.  The unlimited insurance coverage is available  to all depositors, including consumers, businesses, and government entities. This  unlimited insurance coverage is separate from, and in addition to, the  insurance coverage provided to a depositor’s other deposit accounts held at an  FDIC-insured institution.

A non-interest-bearing transaction account is a  deposit account where interest is neither accrued nor paid; depositors are  permitted to make an unlimited number of transfers and withdrawals; and the  bank does not reserve the right to  require advance notice of an intended withdrawal.

Please note that Money Market Deposit Accounts  (MMDAs) and Negotiable Order of Withdrawal (NOW) accounts are not eligible for this unlimited insurance  coverage, regardless of the interest rate, even if no interest is paid on the  account.

July 21, 2010     On July 21, 2010, President Barack Obama signed the Dodd-Frank Wall Street       Reform and Consumer Protection Act into law, which, in part, permanently       raises the current standard maximum deposit insurance amount (SMDIA)       to $250,000. The FDIC insurance coverage limit applies per depositor, per insured depository institution for each account ownership category.

Consumers and bankers can find additional information regarding FDIC’s deposit insurance coverage through the use of the FDIC’s Electronic Deposit Insurance Estimator (EDIE) and deposit insurance publications located on the FDIC’s website,  In addition, they can call the FDIC at 1-877-ASK-FDIC (1-877-275-3342).