Which term describes protection provided by the Federal Deposit Insurance Corporation that protects customer deposits up to $250,000 per account?

• A. Interest
• B. Low Balance Alert
• C. Minimum Balance
• D. FDIC Insurance

Answer: (D)

FDIC insurance is a government-backed protection for bank deposits. It covers deposits at FDIC‑member banks up to $250,000 for each depositor, per insured bank, and applies to accounts like checking, savings, money market accounts, and certificates of deposit. The protection is automatic and does not require buying anything, but it does not cover investments like stocks or bonds or funds held outside an insured bank. If you have more than the limit in one bank, you can increase coverage by using different ownership categories or banking at multiple insured banks.