Unlimited FDIC coverage

[TXBullion]

I dont think Ive heard any mention of it on RC but wanted to see if there were any thoughts or opinions. Certain accounts qualify for unlimited FDIC coverage.
http://www.fdic.gov/deposit/deposits/changes.html

[Copper Catcher]

Backed by the "full faith" and "credit", huh.

Is it just me, are do you think others might question how much of either is left?

Back on Nov 11 of last year I mentioned this and I think there was a collective yawn from the board:

viewtopic.php?f=17&t=1480&p=11177&hilit=Unlimited+FDIC+coverage#p11177

[TXBullion]

I know you keep us updated with FDIC, figured you may have posted but I missed it.

Oh well. I wonder what the reasoning is behind it? Is it to incentivize holding in non interest bearing accounts?

[Copper Catcher]

The way I see it: The key words are "non-interest bearing" So, basically your grandmother has all her life savings in the bank worth $300,000 and if it is in an interest bearing account and the bank goes belly up and the FDIC comes to the rescue she may only get $250,000 but if the account is non-interest bearing she gets it all, assuming the government is still in the business of having money printed out the wa-zoo.


This link goes into a ton of details about all the goodies in the law.....some good for the banks and some supposedly good for consumers:
http://www.gklaw.com/news.cfm?action=pu ... on_id=1008

[AGCoinHunter]

The way I see it: The key words are "non-interest bearing" So, basically your grandmother has all her life savings in the bank worth $300,000 and if it is in an interest bearing account and the bank goes belly up and the FDIC comes to the rescue she may only get $250,000 but if the account is non-interest bearing she gets it all, assuming the government is still in the business of having money printed out the wa-zoo.


This link goes into a ton of details about all the goodies in the law.....some good for the banks and some supposedly good for consumers:
http://www.gklaw.com/news.cfm?action=pu ... on_id=1008

They will just hand grandma a fresh new $500,000 bill and tell her she can keep the change.