sax

Okay, I give up. I really do not understand the rules with the FDIC insurance and my/your money.

The FDIC has a list of 90 banks that are in trouble. Indybank was not on the list. They have failed.

My questions:

How much money is insured in company 401k?

How much money of stocks, mutual funds etc. is insured at an investment company?

How much of IRA is insured?

If all these monies are held by the same bank what difference does this make?

If I have two names on the account is it insured up to double the amount?

Do I have to move money out of my 401k and roll it over into a different bank for it to be fully insured?

Is company pension insured to a certain point or at all?

Anyone care to take a stab at any of these?
Come on CC...can we come up with a consensus?

arnoc

IRAs are insured up to $250,000.

Bank accounts are insured up to $100,000 per depositor per bank. A simple example of this is that if you have only a joint account at a bank, that account is insured up to $200,000. Each individual is insured for a total of $100,000 at each bank among all accounts at that bank.

The above is completely accurate. This may or may not be: I believe that the FDIC does not insure stocks and mutual funds. I know that money market accounts make it a point to tell you that you could potentially lose money, and nothing is insured.

sax

Mutual Fund Insurance (Ask SmartMoney: Personal Finance) at SmartMoney.com

Okay, so definitely mutual funds are not insured.

IRA's are insured up to $250,000.

If IRA and other bank accounts are in the same bank are they still seen as separate?

Arnoc...thank you for your post. So far it concurs with what I think I undersatnd.

BCEagle91

Stocks and mutual funds may be insured by SIPC - which I consider useless. Brokerages and mutual fund companies may have their own additional insurance but you'd have to contact your vendors for information there.

Direct obligations of the US Government (like Treasuries) are backed by the US Government. I think that Ginnie Maes are too.

Pensions are backstopped by the Pension Guarantee Benefit Corporation. IMO, they are undercapitalized.

I looked into this stuff a few years ago when I was worried about the banking system.

ellemenope

Re securities, mutual funds and money market accounts:

The Securities Investors Protection Corporation (SIPC), a non government entity, replaces missing stocks and other securities in customer accounts held by its members up to $500,000, including up to $100,000 in cash, if a member brokerage or bank brokerage subsidiary fails.

WashDad

During the S&L failures of the 80s, no depositor lost money -- even if their deposits were in excess of the FSLIC limits. I wouldn't expect anything different this time around. (All federally-chartered banks and S&Ls are now guaranteed by the FDIC.)

sax

Thanks, BCEagle.

How about the 401 K?

Thanks Ellen and washdad.

Indybank says they will pay 50% of monies in excess of $100,000. The rest is lost. Any other $$$'s after the fact will be divided among stockholders.

arnoc

According to the FDIC website, IRAs and deposit accounts at the same bank are considered separately. To verify, I played around with FDIC: Electronic Deposit Insurance Estimator (EDIE) – Online Version and put in two accounts - an IRA with $250,000 and a deposit account with $100,000: it ended up saying that the IRA and deposit account were both completely insured.

sax

arnoc...thanks for that link! I don't find that site very user friendly and didn't see that.

LongPrime

Full faith and credit of the United States of America.