What happens to your money if your bank closes?

Question

I've been hearing about banks closing around the country and people waiting to get their funds. I know that banks are insured but how do you get your money?

Answer 1

I'm sure they will send you a check. The FDIC insures $100k per account.

Answer 2

the bank reopens the next day as a federal bank and life goes on unless you have over 100k in any single account then you could experience loss

Answer 3

If a bank "closes" or fails, it is taken into receivership by the FDIC. Generally the FDIC closes the bank on Friday and reopens it on Monday.  When the bank reopens on Monday, it is back to "business as usual" and the change of management is generally transparent to the customers UNLESS you have more than $100K in a regular (checking/savings) account or $250K in an IRA account.  Accounts are fully insured only up to $100K and $250K.  If you have more than that in an accountthen you will generally get back 50% of the amount above the FDIC insurance limit, but it may take several months.