FDIC TAGP
San Diego Trust Bank is participating in the FDIC
Transaction Account Guarantee Program
FDIC Deposit Insurance Corporation has Extended on a Temporary Basis
Increased Coverage to $250,000 until December 31, 2013
The Federal Deposit Insurance Corporation (FDIC) is an independent agency of the United States government that protects against the loss of insured deposits if an FDIC-insured bank or savings association fails. FDIC deposit insurance is backed by the full faith and credit of the United States government. FDIC insurance covers funds in deposit accounts, including checking and savings accounts, money market deposit accounts and certificates of deposit (CDs).
FDIC insurance does not, however, cover other financial products and services that insured banks may offer, such as stocks, bonds, mutual fund shares, life insurance policies, annuities or municipal securities.
To ensure funds are fully protected, depositors should understand their deposit insurance coverage limits. The FDIC provides separate insurance coverage for deposits held in different ownership categories such as single accounts, joint accounts, Individual Retirement Accounts (IRAs) and trust accounts.
FDIC Deposit Insurance temporarily increased from $100,000 to $250,000 per depositor through December 31, 2013.
TEMPORARY LIQUIDITY GUARANTEE PROGRAM
San Diego Trust Bank has opted to participate in the FDIC’s Transaction Account Guarantee Program. Under the program, through December 31st, 2010, all non-interest bearing transaction accounts are fully guaranteed by the FDIC for the entire amount in the account. Coverage under the Transaction Account Guarantee Program is in addition to and separate from the coverage available under the FDIC general deposit Insurance rules.
Under the Final Rule, the definition of noninterest-bearing transaction accounts includes Interest on Lawyers Trust Accounts (and functionally equivalent accounts) and low-interest NOW accounts (defined as NOW accounts with interest rates no higher than 0.25 percent).
Sweep Arrangements: Funds swept from a non-interest transaction account to an interest-bearing account will void the FDIC’s guarantee with respect to the swept, transferred, or reclassified funds.
The deposit insurance coverage limits refer to the total of all deposits that an accountholder (or accountholders) has at each FDIC-insured bank. The listing above shows only the most common ownership categories that apply to individual and family deposits, and assumes that all FDIC requirements are met.
If you have questions about FDIC coverage limits and requirements, please visit www.myFDICinsurance.gov, call toll-free 1-877-ASK-FDIC, or ask a representative at San Diego Trust Bank.
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