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| The FDIC (Federal Deposit Insurance Corporation) is an independent agency of the United States government that protects against the loss of deposits if an FDIC-insured bank or savings association fails. FDIC insurance is backed by the full faith and credit of the United States government. Since the FDIC's creation in 1933, no depositor has ever lost even one penny of FDIC-insured funds. |
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| The FDIC’s Transaction Account Guarantee Program |
Ocean Bank is participating in the FDIC’s Transaction Account Guarantee Program. Under the program, through
December 31, 2010, all non-interest-bearing transaction accounts are fully guaranteed by the FDIC for the entire
amount in the account. |
| Coverage under the Transaction Account Guarantee Program is in addition to and separate from coverage available under the FDIC’s general deposit insurance rules. Funds transferred or reclassified by sweep arrangements or other means into an interest-bearing account will void the FDIC’s full guarantee, except for NOW Accounts with an interest rate at or below 0.25% as of July 1, 2010 and Interest on Lawyers Trust Accounts. |
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| FDIC General Deposit Insurance Rules |
| The FDIC's standard maximum deposit insurance amount (SMDIA) is $250,000. All deposits at Ocean Bank are covered with FDIC insurance. The coverage is automatic and includes checking accounts, as well as savings accounts, money market accounts, CDs, and IRAs. The basic coverage amount is $250,000 per depositor. |
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If you own this type of account… |
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Your FDIC Coverage Limit is... |
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| _Single account (owned by one person) |
_$250,000 per owner |
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_Joint account (owned two or more people)
_For example, a husband and wife. |
_$250,000 per co-owner |
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| _Individual Retirement Account (IRA) |
_$250,000 per owner |
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| For a complete description of account ownership categories, click here. |
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| Deposit Insurance on Revocable Trust Accounts |
| A revocable trust account is a deposit account that indicates an intention that the funds will belong to one or more beneficiaries upon the death of the owners. |
| Trust beneficiaries include: |
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an individual, regardless of the relationship to this owner. This includes spouse, children, grandchildren,
great-grandchildren, parents, siblings, cousins, nieces, nephews, uncles, in-laws, and friends. Corporations, partnerships and other legal entities cannot be beneficiaries. |
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charity or non-profit organization as defined by the IRS |
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| FDIC deposit insurance coverage for revocable trust accounts is provided to the owner of the trust. The amount of coverage is based on the number of beneficiaries named in the trust and, in some cases, the interests allocated to those beneficiaries, up to the insurance limit. If a revocable trust account has more than one owner, each owner's coverage is calculated separately, using the following rules: |
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Trust account owners with combined balances of less than $1,250,000 will receive coverage based on the number of beneficiaries multiplied by $250,000 up a maximum of $1,250,000. |
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Trust account owners with combined balances of greater than $1,250,000 and more than five beneficiaries will receive coverage based on the greater of $1,250,000 or the aggregate of all beneficiaries’ interest limited to $250,000 per beneficiary. |
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This page updated 8.20.2010 |
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