As many of you know, a person’s bank accounts are only covered by the Federal Deposit Insurance Corporation up to $250,000 per person. Many people may be unaware that any cash held in a savings, money market and checking accounts over that balance may not be fully insured. For people who do have large checking, money market and savings balances with their local bank, we have a solution for this potential problem.
Baltimore Washington Financial Advisors is proud to announce an increase to insurance levels on money market assets with BWFA. Through our partnership with TD Ameritrade all FDIC insured money market holdings coverage will be increased from $250,000 to $500,000 in coverage for individuals and up to $1,000,000 for joint accounts.
Due to a minor change in the money market fund structure we can double the coverage without changing our clients’ customer experience. In the past TDA cash accounts have had $250,000 of coverage per individual under the Federal Deposit Insurance Corporation. This is because the fund’s assets were only held by one “member bank”, much like your local bank. Our money market fund has now added a second “member bank” allowing for additional coverage beyond what you may have at your local bank.
Through our partnership with TD Ameritrade all FDIC insured money market holdings coverage will be increased from $250,000 to $500,000 in coverage for individuals and up to $1,000,000 for joint accounts.
We are excited to offer this increased coverage. If you have any questions about the new FDIC coverage please reach out to your advisor at BWFA who can assist.