The Independent Community Bankers of America (ICBA) and First Southern State Bank want consumers to rest assured that their Federal Deposit Insurance Corp. (FDIC) insured deposits are safe in their local community bank, while offering tips for expanding coverage.

“First Southern wants to help local consumers understand the facts when it comes to their money,” said Jack Lovelady, president and CEO of First Southern State Bank. “The basic coverage for deposits in an FDIC-insured community bank is up to $250,000 per depositor and $250,000 per owner for certain retirement accounts, but the FDIC provides separate coverage for deposit accounts held in different categories of ownership that allow a customer to have more than $250,000 insured at the same community bank.”

Some basic examples of how depositors can expand their coverage beyond $250,000 include:

  • Accounts owned by a single person are separately insured from joint accounts or retirement accounts owned by that person.
  • Two individuals can each have $250,000 insured in separate accounts with one name each and have another $500,000 insured in an account that bears both their names.

In addition, revocable Payable on Death (POD)* accounts are another option that allow customers to expand beyond $250,000 in the same bank. For example, all of the following accounts could be insured for one couple at one community bank:

  • John Doe, POD to Jane Doe: $250,000
  • Jane Doe, POD to John Doe: $250,000
  • John and Jane Doe, POD to Baby Doe 1, Baby Doe 2, and Baby Doe 3: $750,000
  • John and Jane Doe, POD to Grandchild Doe 1, Grandchild Doe 2, and Grandchild Doe 3: $750,000

“Community bank customers can bank with confidence at their local community bank knowing their money is safe because it is insured by the FDIC and held in well-capitalized and well-regulated institutions,” said ICBA President and CEO Rebeca Romero Rainey. “Since the FDIC was founded in 1933, no one has ever lost a penny of FDIC-insured funds.”

The FDIC is the best source for tools to determine deposit insurance coverage, including an online Electronic Deposit Insurance Estimator that can be found on the FDIC’s website at


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