$100,000 FDIC Insurance Coverage
Are you worried about your assets at one of these online banks? If so, let me put you at ease, all of the banks listed on the homepage of this site (and likely anywhere on this site) is covered by FDIC insurance according to the FDIC’s Bank Find tool.
What’s this FDIC insurance? In a nutshell, banks pay for deposit insurance to protect your assets (since they lend out a large percentage of the money you deposit) and that insurance is called FDIC insurance, after the “corporation” that offers it. FDIC stands for Federal Deposit Insurance Corporation.
Your assets at a single financial institution are protected to $100,000 by this insurance. For the most part, you get $100,000 at every institution so if you have an account at FNBO Direct and one at HSBC Direct, you get $100,000 of coverage at each bank.
There are other ways to get additional protection but for most the $100,000 amount per bank is sufficient.