FDIC insurance covers up to $250,000 per depositor, per insured bank, and per ownership category in the United States.
The Federal Deposit Insurance Corporation was created in 1933 during the Great Depression, after widespread bank failures caused many depositors to lose their savings. Its insurance system is funded by premiums paid by participating banks, rather than by ordinary taxpayers.
The $250,000 limit applies separately to qualifying ownership categories, such as single accounts, joint accounts, and certain retirement accounts. This means a depositor may have more than $250,000 of total FDIC coverage at one bank if the money is distributed across eligible categories. FDIC protection generally covers deposit accounts such as checking, savings, money market deposit accounts, and certificates of deposit. It does not insure stocks, bonds, mutual funds, or cryptocurrency. The limit has changed over time; it was raised from $100,000 to $250,000 in 2008.