Bank Failure

Bank Failure Law

Bank Failure Law:

Although banks are the safest place to keep your cash, bank failures do happen from time to time. It is important to keep in mind that during a bank failure, your money is most likely to remain safe, especially if your money is Federal Deposit Insurance Corp. (FDIC) insured. As a consumer, you should regularly research the financial health of your bank and other banks, looking at the banks' strengths, business models and risk factors.

Bank Failure Legal Issues:

When a bank failure is announced and your assets are insured, there is not much reason for you to worry. If you prefer to take your money out of the failing bank and use a different bank, you will be able to write a check or transfer your money electronically. If you have $100,000 or less in your name at any FDIC-insured bank, you also have no reason to worry. If you have retirement accounts, such as an individual retirement (IRA) account, you may be eligible to receive up to $250,000 coverage per account owner.

FDIC insurance protects:

  • Checking accounts
  • Savings accounts
  • Money markets
  • Certificates of deposit (CD)
  • Individual retirement accounts (IRA)

FDIC insurance does not protect:

  • Securities and brokerage accounts
  • Mutual funds
  • Stocks and bonds
  • Annuities and life insurance policies
  • The contents of safety deposit boxes

What a Lawyer can do for you:

If you find out about your bank failure, but you are certain that your bank is FDIC insured and you have less than $250,000, do not worry. You can simply transfer your money to a new bank. If you have more than $250,000 in deposits, you need to contact your bank or a lawyer to determine how much of your money was insured. A lawyer or FDIC agent can take you through the process and explain how much money you can recover.

Lawyer Referral Service:

If your bank is going through a bank failure and you need help protecting your assets, contact Attorney Search Network. We can help you find a lawyer in your area that can help protect you against a bank failure.

If you have any questions about the information provided above, please contact us. Call us toll free at (800) 215-1190 or fill out our online form for your consumer law lawyer referral.

If you have any questions about the information provided above, please contact Attorney Search Network.