NOTICE OF CHANGES IN TEMPORARY FDIC INSURANCE COVERAGE FOR TRANSACTION ACCOUNTS

All funds in a “noninterest-bearing transaction account” are insured in full by the Federal Deposit Insurance Corporation from December 31, 2010 through December 31, 2012.  This temporary unlimited coverage is in addition to, and separate from, the coverage of at least $250,000 available to depositors under the FDIC’s general deposit insurance rules. 

The term “noninterest-bearing transaction account” includes a traditional checking account or demand deposit account on which the insured depository institution pays no interest.  It also includes Interest on Lawyers Trust Accounts (“IOLTAs”).  It does not include other accounts, such as traditional checking or demand deposit accounts that may earn interest, NOW accounts and money market deposit accounts.

To ensure funds are fully protected, depositors should understand their coverage limits.  The FDIC provides separate coverage for deposits held in different account ownership categories.  The coverage limits shown in the chart below refer to the total of all deposits that an accountholder has in the same ownership categories at each FDIC-insured bank.  The chart shows only the most common ownership categories that apply to business, individual and family deposits, and assumes that all FDIC requirements are met. 

*On July 21, 2010, the standard coverage limit of $250,000 was made permanent.   The limit applies per depositor, per insured depository institution for each account ownership category.

**Noninterest-bearing checking accounts include Demand Deposit Accounts (DDAs) and any transaction account that has unlimited withdrawals and that cannot earn interest and Interest on Lawyers Trust Accounts ("IOLTAs").

If you have questions about FDIC coverage limits and requirements, visit www.myFDICinsurance.gov, call toll-free 1-877-ASK-FDIC or ask a representative at The Citizens National Bank of Southwestern Ohio.