Future Business Leaders of America (FBLA) Personal Finance Practice Test

Disable ads (and more) with a membership for a one time $4.99 payment

Explore the Future Business Leaders of America Personal Finance Test. Use flashcards and multiple-choice questions with hints and explanations to prepare. Get ready for the exam today!

Practice this question and more.

The Federal Deposit Insurance Company (FDIC) insures bank deposits up to what amount?

$500,000
$250,000
$100,000
$750,000

The correct answer is: $250,000

The Federal Deposit Insurance Corporation (FDIC) insures bank deposits up to $250,000 per depositor, per insured bank, for each account ownership category. This means that if a bank fails, the FDIC ensures that depositors are covered up to this limit, providing a critical safety net for individuals' funds. The FDIC's insurance is a key component in maintaining public confidence in the financial system, as it protects consumers from losses due to bank insolvency, encouraging them to deposit their money in banks without fear of losing it. While other amounts may seem like possibilities, they do not align with the current insurance limit set by the FDIC, which has been in place since 2008. It's important for depositors to be aware of this limit to adequately manage their finances and understand the level of protection available for their deposits.