According to Boston College’s Patricia McCoy, data underscore concerns about the government’s role in risk-taking at banks.
From creating joint accounts to patronizing multiple banks, there are ways to maximize FDIC coverage, says economics contributor Chris Farrell.
The FDIC allows coverage of different types of accounts at the same bank. There are also services that help you spread your money around.
Professor Philip Dybvig, co-winner of this year’s Nobel Prize in Economic Sciences, co-authored a seminal paper on how deposit insurance can help prevent financial crises.
Making banks more careful… by reassuring them.