FDIC Insurance
All CDs sold are FDIC-insured up to the allowable limit, principal and accrued interest combined, per depositor (investor), per depository institution (issuer), for all deposits held in the same insurable capacity.
CDs are insured by the FDIC up to $250,000.
Individual Accounts
An individually-owned account is eligible for insurance coverage of up to $250,000 principal and accrued interest combined, per depository institution, subject to aggregation with the individual's interest in other individual accounts that hold the CDs of the same depository institution.
Joint Accounts
A joint account owned by two persons is eligible for insurance coverage of up to $500,000 principal and accrued interest combined, per depository institution ($250,000 for each person), subject to aggregation with each owner's interest in other joint accounts that hold the CDs of the same depository institution. Joint accounts are insured separately from individually-owned accounts that hold the CDs of the same depository institution.
Corporate, Partnership and Unincorporated Association Accounts
CDs held in accounts owned by corporations, partnerships or unincorporated associations, operated for a purpose other than to increase deposit insurance, are added together with other CDs of the same depository institution owned by such corporation, partnership or unincorporated association, respectively, and are insured up to $250,000 principal and accrued interest combined, in the aggregate.
Most Retirement Accounts
CDs of one depository institution held in most retirement accounts, including traditional IRAs, Roth IRAs, SIMPLE IRAs, SEP IRAs, (self-directed) Keogh accounts, (self-directed) 401(k) Plans, (self-directed) Section 457 Plans, and any other (self-directed) employee-sponsored defined contribution plan are insured up to $250,000 principal and accrued interest combined, for all deposits held in the same insurable capacity. Therefore, the CDs of one issuer held through the aforementioned plans and accounts (collectively) will be insured up to a total of $250,000, principal and accrued interest combined. Retirement accounts are insured separately from non-retirement accounts that hold the CDs of the same depository institution.
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