• Checking Accounts
• Money Market Accounts
• Savings Accounts
• Certificates of Deposit (CDs)
• Deposit Accounts owned by certain types of Trusts

Q: What amount of insurance coverage do I have for my accounts?

A: As part of the recently-passed economic stabilization package, Congress temporarily increased deposit insurance limits.  The most basic amount is $250,000 per depositor, per insured bank.  Deposits maintained in different categories of legal ownership can be separately insured.  Therefore, through December 31, 2013, it is possible to have deposits of more than $250,000 at one insured bank and still be fully insured.

Basic FDIC Deposit Insurance Coverage Limits*

Single Accounts (owned by one person)                                            $250,000 per owner

Joint Accounts (two or more persons)                                                $250,000 per co-owner

IRAs and certain other retirement accounts                                        $250,000 per owner (not changed)

Revocable Trust Accounts                                                                $250,000 per owner per beneficiary (subject to specific limitations and requirements)

Corporation, Partnership and Unincorporated Association Accounts     $250,000 per corporation, partnership or unincorporated association

Irrevocable Trust Accounts                                                                $250,000 for the non-contingent, ascertainable interest of each beneficiary

Employee Benefit Plan Accounts                                                       $250,000 for the non-contingent, ascertainable interest of each plan participant

Government Accounts                                                                       $250,000 per official custodian

Q: What is the FDIC Transaction Account Guarantee (TAG) Program?  Does American Bank Participate in the TAG Program?

A: To give you peace of mind that your money on deposit with us is safe and secure, American Bank is pleased to announce our participation in the FDIC Transaction Account Guarantee (TAG) Program.  The FDIC's TAG Program guarantees full deposit insurance coverage of non-interest bearing deposit transaction accounts, regardless of the dollar amount on deposit in such accounts, through June 30, 2010. Deposit insurance coverage under the TAG Program is in addition to and separate from the insurance coverage available under the FDIC’s general deposit insurance rules.  For example, if you have $50,000 in a non-interest bearing deposit transaction account and $250,000 in a certificate of deposit (CD) at American Bank, the FDIC will now insure the entire $300,000.  

 Non-interest bearing deposit transaction accounts are any demand deposit accounts, such as personal or business checking accounts, that do not earn interest, as well as interest-bearing transaction accounts with interest rates at or below 0.50% and IOLTA accounts.  Accounts covered by the FDIC Transaction Account Guarantee Program at American Bank include American Bank Free Checking, American Bank Checking, HSA Convenience Checking, IOLTA, Business Checking and Business Interest Checking.

 American Bank offers products that are not covered by FDIC insurance. For example, the contents of safe deposit boxes, even if including money, are not insured by the FDIC.  Also, funds that are swept or transferred from a non-interest bearing deposit transaction account to a Secured Cash Manager or Retail Secured Cash Manager Account are not insured by the FDIC and are not covered through the TAG Program.  In contrast, funds that are swept or transferred from a non-interest bearing deposit transaction account to a business or consumer money market account, although not covered through the TAG Program, are insured separately by the FDIC to the maximum permitted by law.