Question

the fdic insures deposits up to this maximum amount allowed by law:

a. $250,000
b. $250,000,000
c. $2,500
d. $25,000

Explanation:

Identify the standard FDIC insurance limit

The Federal Deposit Insurance Corporation (FDIC) is an independent agency of the United States government that protects depositors against the loss of their insured deposits if an FDIC-insured bank fails.

Recall the statutory limit

By federal law, the standard insurance amount is \$250,000 per depositor, per insured bank, for each account ownership category.

Match with the given options

Comparing the standard limit of \$250,000 to the choices:

• a. \$250,000 (Correct)
• b. \$250,000,000 (Incorrect)
• c. \$2,500 (Incorrect)
• d. \$25,000 (Incorrect)

Answer:

• a. $250,000 (Correct answer)
• b. $250,000,000
• c. $2,500
• d. $25,000