[ken5050]

If you have less than $250K in the bank ( FDIC insurance limits) it's really one and the same..if the bank goes under, the FDIC steps in..if the banking system fails..and the FDIC goes under..the govt prints/borrows more $$$ to float the FDIC..otherwise the entire system immediately collapses..

The currency either becomes worthless immediately ( not gonna happen) or loses value due to rapid inflation.

Much more likely could be a Cyprus-like scenario, when there is an extended bank holiday. Given that banks pay zip, nada, zilch in interest..you might feel better keeping more cash on hand..say 6 months worth..assuming you have a safe, and/or a safe, and fire-proof place at home to keep it..

Broader perspective..it makes more sense now to consider having a greater % of your assets in gold. ( I personally think the stock markets will correct at least 30% ( if not more) before the 2014 election..so again the question, if you own gold..is where to keep it...having physical possession of some ( if not all..depending on the amount..) makes more sense than ever now...again, assuming you have a secure place to keep it..

[E. Pluribus Unum]

The FDIC only has the assets to cover a fraction of 1% of all deposits.

Having physical possession of any valuable asset is scary. If people see a safe being moved into your house, they know where to come.