By its own definition, the Federal Deposit Insurance Corporation (FDIC) is “an independent agency created by the Congress to maintain stability and public confidence in the nation’s financial system.”
Whenever you walk into a bank, you see a plaque on the wall that says your money is insured by the FDIC. That plaque on the wall is supposed to make you confident about your money being safe, and, if that bank fails, the FDIC is going to come in and give you back all of your money (assuming you stay within FDIC limits). However, if a systemic banking crisis occurred where the entire system is failing, your money is in big trouble.
So how safe is your money in banks, and what exactly does the FDIC insure? Find out from host Lou Scatigna, CFP® in this segment from The Financial Physician.
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