Transaction Account Guarantee Program
First Federal Bank is participating in the FDIC's Transaction Account Guarantee Program. Under that program, through December 31, 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's general deposit insurance rules.
FDIC General Deposit Insurance
On October 3, 2008, FDIC deposit insurance temporarily increased from $100,000 to $250,000 per depositor through December 31, 2009. And, on May 20, 2009, the coverage was extended through December 31, 2013.
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. The deposit insurance coverage limits refer to the total of all deposits that an accountholder has at each FDIC-insured bank. The list below shows only the most common ownership categories for individual and family deposits, and assumes that all FDIC requirements are met.
- Single Accounts (owned by one person) – $250,000 per owner
- Joint Accounts (two or more persons) – $250,000 per co-owner
- IRAs and certain other retirement accounts – $250,000 per owner
- Trust Accounts – $250,000 per owner per beneficiary subject to specific limitations and requirements
For more information, visit the FDIC web site.
Maximize Your FDIC Coverage at First Federal Bank
Example of Insurance Coverage for Husband and Wife
The chart below shows how a husband and wife can have FDIC insurance coverage up to $1,500,000 utilizing the following insurance categories.
| Single Accounts | |
| Husband | $250,000 |
| Wife | $250,000 |
| Joint Accounts | |
| Husband and Wife | $500,000 |
| Revocable Trust Accounts | |
| Husband - Payable on Death to Wife | $250,000 |
| Wife - Payable on Death to Husband | $250,000 |
| Total Insured by FDIC | $1,500,000 |
Example of Insurance Coverage for Husband, Wife, and Child
The chart below shows how a husband, wife, and child can have FDIC insurance coverage up to $2,000,000 utilizing the following insurance categories.
| Single Accounts | |
| Husband | $250,000 |
| Wife | $250,000 |
| Joint Accounts | |
| Husband and Wife | $500,000 |
| Revocable Trust Accounts | |
| Husband - Payable on Death to Wife | $250,000 |
| Husband - Payable on Death to Child | $250,000 |
| Wife - Payable on Death to Husband | $250,000 |
| Wife - Payable on Death to Child | $250,000 |
| Total Insured by FDIC | $2,000,000 |
For more information about FDIC insurance and how coverage is achieved, click here to view the FDIC Insurance Estimator (EDIE).