Where does your money go if your bank collapses aka goes bankrupt ect..?

Question

Banks will collapse in the up coming months guarenteed. what hapends to your money if its in one of thesee banks???

Answer 1

"Banks" as in "all banks" will not collapse in coming months.

Collapse, liquidity crisis, and bankruptcy are all different things, meaning different ends for depositors.

In general, your particular money doesn't go anywhere in a bank collapse:  rather when you loaned your money to the bank, they turned around and loaned that money to a business or person who did not pay the loan back.  So, the failure of the third party to pay back their loan to the bank, means the bank cannot repay the loan you made to the bank.

Answer 2

Your account at the bank is insured.  Usually by the FDIC.  Savings and Loan companies have different insurer.  If you have doubts about your bank, it would probably be a good idea to change banks to a large institution like Chase Bank.  It really makes little difference which bank at which you deposit as long as you feel the funds are secure.  It is the lenders who are going under.  Your assets are not at risk.

Answer 3

Nowhere.  As long as your accounts don't exceed $100K, the money will be there.

Answer 4

up to $100,000 per acount is insured by the FDIC so it is still there

Answer 5

FDIC needs to send you a check of up to $100,000 for each individual bank account even if you had more money in it