What to do when one's savings in an 401k plan are over the FDIC protection limit of $100k? Some brokerage firms add SPIC protection up to $500k, but it seems to be only for securities.
What about if the 401k plan is rolled over to a regular IRA, how does the FDIC limit apply? How exactly does the SPIC limit apply for those accounts covered by it?
TIA
Evandro Menezes wrote on [Mon, 14 Jan 2008 18:18:06 -0600]:
How many 401(k) plans are invested at companies that have FDIC insurance? Mine is at a brokerage.
The FDIC limit for IRAs is 250,000.
OK. But I guess that it's for cash accounts only, right? I assume that securities would be immune to an institution going under, except for its own stock value, right?
TIA
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