The FDIC warns that not all banks operating on the Internet are insured by the FDIC.  Many banks that are not FDIC-insured are chartered overseas.  If you choose to use a bank chartered overseas, it’s important to know that the FDIC may not insure your deposits.  Check with your bank or the FDIC if you’re not certain.  One of the primary values of bank products is the guarantee of principal that comes with FDIC insured deposits.  If the savings accounts or money market accounts of an overseas bank does not carry FDIC coverage, be aware of the risks, compare the interest rates with FDIC insured bank products and research the strength of the financial institution before depositing any funds.

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