Bank Failures: 25 Things Everyone with a Bank Account Needs to Know

The FDIC Keeps its List of Troubled Banks “Hush-Hush”

The FDIC maintains a list of troubled banks that are at risk of becoming insolvent in the near future. This list is kept hidden from the public so as not to incite consumer panic resulting in a run on the bank. Though depositors won’t get to see how close to the brink their bank is in the government’s eyes, the above Bank Health Ratings will help give a fair idea.

Be Prepared to Lose Those Nice CD Rates

In the current low rate banking environment, any long-term, high rate CDs you have will likely evaporate should the bank fail. This loss should come as no surprise but could be untimely if you were counting on the interest of a particular CD for another year or two.

Go Look for Better Banks Once Yours Fails

If your bank does fail, and the acquiring bank’s new accounts are disappointing, use the wide array of tools on the Internet to search for better options. Internet banks are offering competitive rates, as well as credit unions, and these institutions are making it easier and easier for you to find them.

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