Kind of nosy...but

[Lee Harker]

With the added 150k to the FDIC insured savings account...who the hell, besides Sutton, who will be able to double up all his 100k savings accounts and reduce his interest statements.....will this help? Maybe I'm not doing as well as the majority of "middle class" Americans. Does everybody have that kind of money laying around in savings accounts?

 

[Huntindave McCann]

Does everybody have that kind of money laying around in savings accounts?

Nope, nothing even close to that showing up on my bank statements. At least, not in the black column.

 

[Bill McAdam]

Lee. I'd be pretty surprisedif many guys came on here and said they'd have to change their banking practices as a result of this change. Think it's aimed more at small businesses than individuals. Having said that, does FDIC insure commercial accounts?

 

[Ray]

Sure would like to have that problem, but I don't.

 

[Lee Harker]

Bill, I think so...but I never thought about it before now. Some days, we(the lumberyard) have a lot of money in our checking account...about 3 hours....then we have to pay the bills.

 

[gianni bertuzzelli]

$250K coverage is absolutely necessary. The 100k provision has been in place since early 1970's, and has never adjusted for inflation. Many people have over 100k saved in IRAS etc, but most importantly small to mid size companies have well over that as they escrow for large expenditures like inventory, payroll, taxes, etc.

The lack of such provisions will put many prudent business men an woman, who worked hard and acted wisely to build up cash and not buy the big house or spend lavishely, into a state of contraction.

What would a wise business owner do when he is sitting on sizeable amount of cash, his firm is returnng a less than expected profiit in the short term, and the prospects of his capital savings being secure are unsure at best.

He closes up shop, lays workers off, liquidates working capital and lives off his savings. He will most likely land a job in a consultant position and ride out the storm to better days.

 

[george wilson]

saw bill clinton explaining to a crowd of "average" citizens why this was important -- he said in his neighborhood people were getting thier accounts down under 100K and moving money around for fear of losing it -- the crowd didn't seem to feel sorry for he and his friends.

out of touch with we average joes


i read the average net worth of the american family was 93K -- so how may people have 100K in a savings acct????

 

[dan w]

I agree that the move up to 250k in savings accounts is needed.
FWIW, certain retirement accounts have been FDIC insured to 250k for a few years now.

 

[Lee Harker]

Now... a couple weeks ago when the first big bank went down and people were scrambling to get their cash out...they said IRA's were covered no matter the size...it was savings and checking and CD's that were only insured to 100k. Is the bullshit bouncing now? I can understand the raise to 250k and think it should be unlimited, if a person can buy unlimited life insurance, for a price, why can't your bank have insurance for all it's deposits? Even though money is insured to 100k, that money couldn't get to a small business owner in time to make payroll or discount his bills. I heard it could take months to get the money if a bank closed. I sure don't want to be carrying a couple 100k around in my pocket..just in case.... I talked to my two little local banks and they said that they are fully capitalized and have no problems...most small banks that resisted being bought out by the big boys are doing fine. Another reason to shop locally.

 

[Lee Harker]

Danimal, may I direct you to the sticky at the top of the page titled "Real names one more time" By the owner of the site? Thanks

I agree that the move up to 250k in savings accounts is needed.
FWIW, certain retirement accounts have been FDIC insured to 250k for a few years now.