FDIC Coverage

Notice of Expiration of the Temporary Full FDIC Insurance Coverage for Noninterest-Bearing Transaction Accounts

By operation of federal law, beginning January 1, 2013, funds deposited in a noninterest-bearing transaction account (including an Interest on Lawyer Trust Account) no longer will receive unlimited deposit insurance coverage by the Federal Deposit Insurance Corporation (FDIC). Beginning January 1, 2013, all depositor’s accounts at an insured institution, including all noninterest-bearing accounts, will be insured by the FDIC up to the standard maximum deposit insurance amount ($250,000), for each deposit insurance ownership category.

For more information about FDIC insurance coverage of noninterest-bearing transaction accounts, visit:

https://www.fdic.gov/news/news/financial/2012/fil12045.html

Having Deposits at Two Banks that Become One

Special FDIC Insurance Rule Protects Customers with Deposits over $250,000 Limit for at least Six Months After a Merger or a Closing

As we noted in the article above, the basic FDIC insurance amount is $250,000 per depositor, per insured bank. That means you could have up to $250,000 on deposit at one bank and $250,000 at another bank and it would all be fully insured. But what would happen if those two banks merge?

If you currently hold deposit accounts at Ameris Bank and an Ameris Bank acquired bank, and the combined deposits exceed $250,000, you are subject to the special FDIC insurance rule. This rule indicates that because of the merger of two banks, deposits will be considered separately insured, as if the two banks are still operating separately, for at least six months (and possibly longer for certificates of deposits) following the legal merger. Regarding CDs, the FDIC allows the separate deposit insurance coverage to continue until the CD matures, following the legal merger.

For more information about the FDIC’s rules after a merger, call toll-free1-877-ASK-FDIC (1-877-275-3342) or visit www.fdic.gov.