FDIC insured — even for high value accounts
You’ve probably heard many banks proclaim their deposits are insured by the FDIC — the Federal Deposit Insurance Corporation, an independent agency of the U.S. government that insures checking, savings and money market accounts as well as certificates of deposit. That means that if an FDIC-insured bank were to fail, you’d get your money back.
But did you know that each account is insured only up to $250,000? We at First Utah Bank don’t want to leave our business, non-profit and high-worth individuals out in the cold! We are part of what is called CDARS, short for Certificate of Deposit Account Registry Service. It’s a network of about 3,000 FDIC-insured banks across the country that allows those with larger deposits to enjoy all the protection smaller depositors enjoy.
This is how it works: You tell us you want to make a large deposit. We break that large deposit into smaller amounts and place them with other financial institutions that are members of the CDARS Network. Then, those banks issue CDs in amounts under the standard FDIC insurance maximum, so that your investment is eligible for FDIC protection. By working directly with First Utah Bank, your deposit is eligible for full FDIC insurance protection!
This program has several advantages, including, as we said, that you work only with First Utah Bank, your community bank. Here are some others:
One rate: You negotiate one interest rate per maturity on CDs placed through CDARS. There is no need to negotiate multiple rates per maturity or tally disbursements manually for each CD.
One statement: There is no need to manually consolidate statements. You receive one easy-to-read statement listing all of your CDs along with their issuing banks, maturity dates, interest earned, and other details.
No hidden fees: You will not be charged annual fees, subscription fees or transaction fees for using CDARS.
Want to learn more? Go to our website or give us a call at 801-308-2265.