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Comment by pixl97 | Hacker News Reader

I mean the 250-500k limits have been around for a long time now, that said they are rather low due to inflation. Most larger companies reduce this risk by spreading assets over a number of banks. Just banking with a large bank does nothing if they fail.

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Not that long, it was raised from $100k to $250k in 2008. They were up for review last in 2020, and again in 2025.

Most people - people - have far, far less than this. And it's fundamentally about protecting people - institutions, like we're discussing here, are supposed to be considerably more risk-aware.

You don’t even need to use multiple banks. Each individual amount is insured to $250k. So if you have monthly payroll due of $1M, then open four checking accounts (all at the same bank), and don’t keep more than $250k in each.

It's per bank, not per account

> Deposits are insured up to at least $250,000 per depositor, per FDIC-insured bank, per ownership category.

https://www.fdic.gov/resources/deposit-insurance/faq/index.h...

Four checking accounts at the same bank and titled in the same name get only one helping of deposit insurance.

> Coverage Limit: All deposits owned by a corporation, partnership, or unincorporated association at the same bank are added together and insured up to $250,000, separately from the personal accounts of the owners or members.

> The corporation, partnership, or unincorporated association must be separately organized under state law and operate primarily for some purpose other than to increase deposit insurance coverage.~

https://www.fdic.gov/resources/deposit-insurance/financial-p...

Banks will almost certainly not let you do this

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