The recent rash of bank failures has caused many people to feel unsure of the security of their bank deposits. To help alleviate anxiety, the government has increased FDIC insurance from $100,000 to $250,000 per depositor per insured bank through December 31, 2013.

It is now more important than ever to understand how FDIC insurance can affect your deposits. With proper arrangements, it is possible to increase FDIC insurance beyond $250,000 by simply changing the ownership of the assets. A single depositor could have over $2 million in FDIC insurance with one bank with the proper use of revocable and irrevocable trusts, joint owners and beneficiaries. The FDIC has made the following resource available to help you calculate your FDIC coverage:

EDIE the Estimator

Using EDIE may help you decide to move funds to a different bank, into or out of your trusts or to add beneficiaries to accounts.

Do you have questions about establishing your estate for maximum benefit to yourself as well as your beneficiaries? Contact us today for a free consultation.