The best banks have the same four letters, FDIC, next to their name.  These letters are a good thing, but what do they stand for and why are they important?

FDIC History

Abbreviated FDIC stands for Federal Deposit Insurance Corporation.  In 1933, President Franklin D. Roosevelt addressed the nation about the recent banking crisis of the 1920s in which thousands of banks failed.  In response to that crisis, Congress established the FDIC under the Banking Act of 1933.  The FDIC was a way to protect Americans money if another bank failure hit the country.  By investing your money with a bank insured by the FDIC you are insuring your money, up to $250,000.  Since the start of the FDIC in January of 1934, no depositor has lost a single cent of their insured money due to a bank failure, according to the FDIC official website.

Mission of FDIC

The FDIC website states the mission of the FDIC as:  ”….an independent agency created by the Congress to maintain stability and public confidence in the nation’s financial system by: insuring deposits, examining and supervising financial institutions for safety and soundness and consumer protection, and managing receiverships.”  The FDIC employs more than 7,000 employees who all strive to maintain integrity, competence, teamwork, effectiveness, accountability and fairness as they oversee and manage the money of over 4,900 banks across America.

FDIC Insured Banks

Rest assured, all of the banks we review on this website are FDIC insured.  That way you know your money will be protected if the bank were to fail.  Find the best bank that fits your needs, but make sure the bank your choose is FDIC insured.