FDIC Insurance Info

Jefferson Bank is participating in the Transaction Account Guarantee Program.

That means that through June 30, 2010, all non-interest bearing transaction accounts are fully guaranteed by the FDIC for the entire amount in the account. Coverage under the Transaction Account Guarantee Program is in addition to and separate from the coverage available under the FDIC’s general deposit insurance rules.

NOW accounts with low interest rates (paying no higher than 0.50%) and Interest on Lawyers Trust Accounts (IOLTA's) are considered non-interest bearing accounts. Therefore, they are eligible for this program.

"Sweep" arrangements are not eligible for this program when funds move from a non-interest bearing transaction account into an interest bearing account. The funds held in non-interest bearing transaction accounts are guaranteed in full by the FDIC, while the funds held in interest bearing accounts are insured up to $250,000.00.

*On May 20, 2009, President Barack Obama signed the Helping Families Save Their Homes Act, which extends the temporary increase in the standard maximum deposit insurance amount (SMDIA) to $250,000 per depositor through December 31, 2013. This extension of the temporary $250,000 coverage limit became effective immediately upon the President's signature. The legislation provides that the SMDIA will return to $100,000 on January 1, 2014.

Federal Deposit Insurance Corporation
Backed by the full faith and credit of the United States government