Question

As joint depositors, you and your spouse have two savings accounts (one with a balance of $250,000, and one with a balance of $350,000) deposited in the federally insured SFL Bank. This bank has failed and has nothing left because it paid interest rates that were too high. Altogether, how much money will you and your spouse receive from the Federal Deposit Insurance Corporation (FDIC)?

Answer 1

Answer:

$500,000

Explanation:

The Federal insurance corporation pays a sum of $250,000 to depositor in an insured bank for every category of qualified account owners. Deposits in different banks (but not branches ) are treated different by FDIC for the purpose of insurance.

In a joint deposit account , the federal deposit insurance corporation pays each of the spouse a sum of $250,000 each over the aggregate deposit in the account. All separate accounts owned by the person in a the same banks are merged together.