Good news for Savers as Congress has hiked the federal deposit insurance!
Congress has increased the amount of federal deposit insurance to $250,000 per account from $100,000 (that was the previous amount). Clearly, this is an attempt to maintain some calm and stability in financial institutions and provide some reassurance to investors, especially the savers!
However, it is worth noting that this guarantee is only there till the end of 2009!
So, savers with more than $100,000 should not panic and prematurely pull their savings out of bank accounts in case these amounts exceed $100,000!