Searching for “best banks near me” can help you locate banks in your area that have a good reputation and offer superior customer service. Depending on your financial institution, you may be able to do this online, over the phone, or in person. Shop around for a new financial institution by comparing fees, interest rates, product offerings, etc., to ensure they align with your financial needs and goals. Capital One customers can earn high APYs with a 360 Performance Savings Account (4.30% APY) and 360 CD accounts (4.10% to 5.30% APY).
The main difference between high-yield savings accounts and traditional savings accounts is that high-yield savings accounts offer higher interest rates, which in turn allow your money to grow faster. Also, unlike traditional savings accounts, high-yield savings accounts are generally offered by online banks FDIC insurance banks that don't have physical branch locations. The FDIC's deposit insurance fund helps to fulfill the agency's guarantee of bank deposits up to $250,000 per person. In the event an insured bank fails, the FDIC uses the deposit insurance fund to pay back customers who maintained accounts under the limit.

Therefore, Michelle must withdraw at least $220,000 to avoid potentially uninsured funds. 3 “All other consumer loans” includes single payment and installment loans other than automobile loans and all student loans. 2 Provisions for credit losses include both losses for loans and securities for Current Expected Credit Losses adopters and only loan losses for non-adopters. The examples provided in this Employee’s Guide are drawn from thousands of questions received by the FDIC. The examples are not intended to describe every situation that may arise. The Huntington National Bank is an Equal Housing Lender and Member FDIC.
If a CD matures during the six-month grace period and is renewed on any other basis, it would be separately insured only until the end of the six-month grace period. It is rare for a bank not to have FDIC insurance, but there are exceptions. Instead, it is backed by the full faith and credit of the State of North Dakota. We’re transparent about how we are able to bring quality content, competitive rates, and useful tools to you by explaining how we make money. Bankrate follows a stricteditorial policy, so you can trust that our content is honest and accurate.
SIPC coverage doesn’t apply to certain investments, including commodity futures contracts, foreign exchange trades, investment contracts, or fixed annuity contracts not registered with the Securities and Exchange Commission. The first difference between FDIC insurance and SIPC insurance is that they’re administered by different agencies. Both the FDIC and SIPC are independent agencies created by Congress to protect Americans’ money. 1 “Pre-pandemic average” refers to the period including first quarter 2015 through fourth quarter 2019 and is used consistently throughout this document. Federal law protects you from most fraud and errors in your accounts, but you have to act quickly to get full protection. Although banks are safe places for your money, they do lend your money out and invest it to earn a profit.

High-yield savings accounts are deposit accounts from financial institutions that earn above-average yields. Typically, the rates are also better than those offered by checking accounts. Some of the best savings interest rates come from online banks and providers. They can provide greater returns to customers because they don’t have to pay for operating branches and can pass the savings along. Banks that made only one of our best lists were excluded from this ranking. What is surprising is how much more the richest 10% have saved compared to the bottom 20%.
But more than 85% of the bank’s deposits were uninsured, according to estimates in a recent regulatory filing. That’s because FDIC deposit insurance is meant for everyday bank customers and maxes out at $250,000. Many Silicon Valley startups had millions, or even hundreds of millions of dollars deposited at the bank—money they used to run their companies and pay employees. On December 15, 2020, the FDIC Board of Directors approved a Final Rule - PDF making certain revisions to the interest rate restrictions applicable to less than well capitalized institutions , which are effective on April 1, 2021.

FDIC insurance premiums paid by member banks insure deposits in the amount of $250,000 per depositor per insured bank. This includes principal and accrued interest up to a total of $250,000. In October 2008, the protection limit for FDIC-insured accountswas raised from $100,000 to $250,000. Thankfully, there’s a handy tool to help calculate how much of your deposits are protected by insurance.
But what makes this account stand out is its convenient withdrawal options. Ally is a good choice for anyone looking to do all their banking in one place. While the Ally Savings Account is a good high-yield account on its own, account holders can enjoy even more benefits if they also have an Ally Bank Spending Account (Ally's checking product).
Members of the Advisory Committee have a wide range of knowledge and experience related to community banks. The FDIC also engages regularly with the MDI Subcommittee of the CBAC. In addition, the FDIC, OCC, and FRB conduct IT examinations of third-party technology service providers that provide a range of services to IDIs. You can live in a neighboring state – or any other state – and your deposits will be covered as long as they are held in a participating bank. The insurance applies automatically, much as is the case when FDIC intervenes in a bank failure. Let’s take a look at both versions of the DIF – the Massachusetts Depositors Insurance Fund, and the FDIC Deposit Insurance Fund which covers banks nationally, including those found on our Best Savings Account list here.