Question

The Federal Deposit Insurance Corporation (FDIC) __________. insures customer deposits if a bank fails insures banks if a borrower does not repay the loan insures homeowners against natural disasters all of the above

Answer 1

Answer:

The Federal Deposit Insurance Corporation (FDIC) insures customer deposits if a bank fails.

Explanation:

The Federal Deposit Insurance Corporation is a federal agency formed as a result of the Great Depression. This agency was created after the approval of the Glass-Steagall Act (1933), and its mission is to guarantee the recovery of depositors' money if a bank goes bankrupt. The FDIC provides money when financial institutions fail, inspiring confidence in banks and customers.

The agency guarantees deposits of up to $ 250,000 in member commercial banks, helping to maintain the solvency of the United States financial system.

Answer 2

The Federal Deposit Insurance Corporation or (FDIC) insures customer deposits in banks up to $250,000 if a bank fails. This provision was put into place to insure confidence in the banking system and to prevent runs on banks in the event that a bank is suspected of failing.