The FDIC is an entity that insures deposits due to insolvency by a bank or thrift. The Federal Deposit Insurance Corporation insures checking accounts and savings accounts, as well as certificates of deposit to member banks. Each depositor is insured for up to $250,000. Additionally, the FDIC will monitor all banks, including ones that issue credit cards, for solvency. They also make sure that each bank maintains a certain amount of capital.
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