Expanded FDIC Deposit Insurance Protection › Preferred Bank (2024)

FAQs

Expanded FDIC Deposit Insurance Protection › Preferred Bank? ›

All deposits at Preferred Bank are covered by the standard FDIC Insurance amount of $250,000 per customer. If your deposits exceed $250,000, we offer additional FDIC insurance coverage through IntraFi® Network Deposits CD accounts and DDA/MMDA accounts.

Preferred Bank accounts are insured by the Federal Deposit Insurance Corporation (FDIC).

Q: Can I have more than $250,000 of deposit insurance coverage at one FDIC-insured bank? A: Yes. The FDIC insures deposits according to the ownership category in which the funds are insured and how the accounts are titled.

Enjoy the VeraBank relationship you know and trust, with deposit insurance up to $100,000,000.

Millionaires can insure their money by depositing funds in FDIC-insured accounts, NCUA-insured accounts, through IntraFi Network Deposits, or through cash management accounts. They may also allocate some of their cash to low-risk investments, such as Treasury securities or government bonds.

Preferred Bank accounts are insured by the Federal Deposit Insurance Corporation (FDIC).

DDA/MMDA allows you to place funds into demand deposit and/or money market deposit accounts. You can deposit up to $100 million for each account type. With this option, you may receive expanded insurance protection and still have the flexibility to access your funds when you need them.

For example, if the same two co-owners jointly own both a $350,000 CD and a $150,000 savings account at the same insured bank, the two accounts would be added together and insured up to $500,000, providing up to $250,000 in insurance coverage for each co-owner.

You and your spouse each can open individual accounts at a single bank, resulting in each of you having up to $250,000 FDIC-insured. You can then also open a joint account and each has $250,000 insured in that account. Between those three accounts, you could have up to $1 million FDIC-insured at one bank.

How to maximize FDIC insurance at one bank? ›

The standard insurance amount is $250,000 per depositor, per insured bank, for each ownership category. This means that by having accounts in different ownership categories, like single accounts and joint accounts, you can get more than $250,000 in coverage.

NOTE ON BENEFICIARIES: WHILE SOME SELF-DIRECTED RETIREMENT ACCOUNTS, LIKE IRAS, PERMIT THE OWNER TO NAME ONE OR MORE BENEFICIARIES, THE EXISTENCE OF BENEFICIARIES DOES NOT INCREASE THE AVAILABLE INSURANCE COVERAGE.

If you have more than $250,000 at the same bank, you might risk losing some of your money if your bank fails. You can gain more protection by spreading your money between multiple banks or sharing a joint account with someone.

Millionaires don't worry about FDIC insurance. Their money is held in their name and not the name of the custodial private bank. Other millionaires have safe deposit boxes full of cash denominated in many different currencies.

No, the FDIC doesn't insure regular shares and share draft accounts held at credit unions. Instead, the National Credit Union Share Insurance Fund, run by the National Credit Union Administration (NCUA), insures credit union accounts.

Deposits in Preferred Deposit are insured by the FDIC up to a maximum of $250,000 ($500,000 for two-party joint accounts), including principal and interest, for all deposits held at the same depository institution in the same legal ownership category.

Preferred Bank (NASDAQ: PFBC) is one of the larger independent commercial banks headquartered in California with over $6 billion in total assets. Since 1991, Preferred Bank has served the financial needs of its valued customers and communities. Our Headquarters office is located in Downtown Los Angeles.