federal deposit insurance corporation

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Federal Deposit Insurance Corporation (FDIC)

Definition: The Federal Deposit Insurance Corporation, or FDIC for short, is a U.S. government agency that protects people's money in banks. If a bank fails or goes out of business, the FDIC ensures that people do not lose their savings. It guarantees that the money in your bank account (up to a certain limit) is safe.

Usage Instructions:

• You typically use "FDIC" when talking about bank safety, savings, or insurance for bank accounts.
• It is often mentioned when discussing whether to trust a bank with your money.

Example Sentence:

"I feel safe keeping my money in the bank because it is insured by the FDIC."

Advanced Usage:

• In financial discussions, you might hear phrases like "FDIC insurance limit," which refers to the maximum amount of money covered by the FDIC in a bank account (currently $250,000 per depositor, per bank).
• When comparing banks, you might say, "Both banks are FDIC insured, so my deposits are protected."

Word Variants:

• FDIC-insured (adjective): This describes accounts or banks that have the insurance from the FDIC.
  • Example: "I opened an FDIC-insured account to ensure my savings are protected."

Different Meanings:

• While "Federal Deposit Insurance Corporation" refers specifically to the U.S. agency, the term "deposit insurance" can refer to similar protection in other countries or contexts.

Synonyms:

• There are no direct synonyms for "Federal Deposit Insurance Corporation," but you can refer to it simply as "the FDIC" in conversation.

Idioms and Phrasal Verbs:

• There are no specific idioms or phrasal verbs related to the FDIC, but you might come across the phrase "safe as houses," which means very safe, similar to how people feel about their FDIC-insured accounts.

Summary:

The FDIC is important for anyone who saves money in a bank.

Academic

Noun

1. a federally sponsored corporation that insures accounts in national banks and other qualified institutions

Synonyms

• Federal Deposit Insurance Corporation
• FDIC