My wife found out about a month ago that our bank, which had told us our money was all insured, had let information that my wife picked up and investigated, found only about a quarter of it or less was insured.
(this discovery predated the current issue with this Silicon Valley bank)
When we went to the bank for an appointment to discuss it today, I was sitting in the office, and reading a placard on the desk that said:
“FDIC...Backed by the faith and security of the US Government.”
I stared at that for a long time, and the more I looked at it, the more absurd it sounded to me.
There is no faith. Definitely no faith.
There is no security. Definitely no security.
There are ways to structure accounts so that more than $250,000 can be insured, but the problem is if you tell the bank to do that, and they say they've done it, but the account records don't show that it's done exactly right, you are the one that gets screwed at the closing, not the bank. Safer to have multiple banks.