Is all of your bank money insured? Count it by ownership category.

The rule has three parts, and all three matter

The FDIC states that deposits are insured to at least $250,000 per depositor, per ownership category, at each FDIC-insured bank. [1] Read that as three separate limits that stack: who owns the money, which ownership category the account falls into, and which insured bank holds it. Two accounts at the same bank in the same category for the same owner share one limit. The same balance split across two different insured banks gets two limits.

The FDIC lists seven ownership categories: single accounts, joint accounts, certain retirement accounts, trust accounts, employee benefit plan accounts, corporation/partnership/unincorporated association accounts, and government accounts. [1] Most households only need the first four. This guide is US consumer education, not a coverage determination or personalized advice.

What each common category covers

These figures come from the FDIC's deposit insurance at-a-glance summary, read on 2026-10-13. [2] The trust-account formula took effect April 1, 2024, so older articles that describe different trust rules may be out of date.

Worked example: one household, one bank

This household is invented. Alex has $300,000 in single-owner savings and CDs at one insured bank. Alex and Sam also share a joint account with $400,000, and Alex owns a revocable trust account naming three beneficiaries with $800,000. Every account is a deposit at the same FDIC-insured bank.

Single category: Alex's $300,000 is covered to $250,000, leaving $50,000 uninsured. Opening another single savings account at the same bank would not help, because it lands in the same category. Joint category: $250,000 per co-owner covers up to $500,000, so the $400,000 is fully covered. Trust category: 1 owner x 3 beneficiaries x $250,000 = $750,000, so $50,000 of the $800,000 is uninsured.

The household has $1,500,000 at one bank, of which $1,400,000 falls inside the modeled limits. The two $50,000 gaps could be closed by moving those amounts to a different insured bank or by changing ownership structure. That is a decision to make with the account documents, the FDIC estimator and, for trusts, whoever drafted the trust. The arithmetic here does not decide it.

What deposit insurance does not cover

The FDIC says deposit insurance covers checking, savings, money market deposit accounts, CDs and official items such as cashier's checks. It does not cover stocks, bonds, mutual funds, annuities, life insurance, safe deposit box contents, crypto assets, or U.S. Treasury bills, bonds and notes, even when an insured bank sells them. [1]

Payment and savings apps are a separate question. The FDIC states that nonbank companies are never FDIC-insured themselves, that funds may qualify for pass-through coverage only after they are deposited at an insured bank and the company keeps records of who owns what, and that deposit insurance does not protect against the insolvency or bankruptcy of a nonbank company. [3] Credit union deposits are covered by the NCUA's Share Insurance Fund up to $250,000 for individual accounts, not by the FDIC. [4]

A checking routine before you move a large balance

If every balance already sits inside the modeled limits, skip any restructuring and keep your current setup; the only action is to recheck when a balance grows or an account title changes.

• Confirm the institution is FDIC-insured in BankFind, or NCUA-insured for a credit union, by legal name rather than app brand. [1][4]
• List every deposit you hold at that bank, including CDs and accounts opened through a partner app, and write the owner and category next to each one.
• Add balances within each owner and category before comparing against $250,000; interest that accrues later counts too.
• For an app, record which bank holds the money and whether the terms say funds may be eligible for pass-through coverage. [3]
• Run the totals through the FDIC's Electronic Deposit Insurance Estimator (EDIE) and keep the dated printout with your records. [1]