Recently in the news from the Federal Deposit Insurance Corp (FDIC) Thairman was quoed as saying They do not expect any more large bank failure on the magnitude of IndyMac Bank. IndyMac Bank was a top ten mortgage lender in the USA. The FDIC at the same time said they do expect numerous smaller bank failure in the short term.
If I kept a significant amount of money in a bank what message would I take from this announcement. I should add that the bulk of our assets are never in a bank. The take away message is that you should never have money in a bank in excess of FDIC insurance limits. Perhaps the prudent will actually deal with lower personal limits than the FDIC limits. There are Bank alternatives that can do the following things. Earn a higher interest rate than banks will pay. This is usually easy to do. Find a financial product with a very high degree of safety. There are financial products available with no risk to principal due to market risk. There are even products available that do all of these things and can providetax deferred growth if you don't need the income immediately. Utilizing the tax deferred benefit may even reduce your current tax bill or if you are on social security may even reduce or eliminate taxes on your social security benefits.
Wee can help you achieve these goals with safety of your principal. Will Rogers once said "I am much more interested in the safety of my money than I am in the interest on my money". Long term financial products that protect your money.
How can we help you?
polarisfinancialservices@gmail.com
www.columbusfinancialplanningpros.com
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