FDIC Coverage
Protecting your money is as important as helping it grow. This is why Burke & Herbert Bank is a member of the Federal Deposit Insurance Corporation (FDIC).
The Federal Deposit Insurance Corporation was created as an independent federal agency in 1933 to build consumer confidence in the nation’s banking system in the wake of bank closings caused by the Great Depression. It is the nation’s banking regulatory force – insuring deposits, monitoring the health of the nation’s banks and managing receiverships. But for most banking customers, the FDIC represents the peace of mind of knowing that their money is secure in the event of a bank failure or collapse.
Since the creation of the FDIC, no depositor has ever lost one penny of insured deposits.1
FDIC insurance provides protection for customers’ accounts should a bank fail. As a customer of an FDIC-insured bank, your deposits are automatically covered from the day you open a deposit account – there’s no need for you to take any further steps to protect your money.
The maximum amount of coverage offered is $250,000 at a single bank. You can receive deposit insurance coverage of more than $250,000 at a single bank when deposits are held in different “ownership categories,” such as single, joint and trust accounts.
Another way in which Burke & Herbert Bank keeps deposits over $250,000 protected with FDIC coverage is through the Certificate of Deposit Account Registry Service (CDARS) program and Insured Cash Sweep (ICS) service. This works by redistributing your money (below the FDIC maximum) through other banks within the CDARS/ICS network to ensure that it can grow while staying protected.
For more information about the FDIC and FDIC coverage, please visit opens in a new windowFDIC.gov.
1 Source FDIC.gov
