What Does FDIC Stand For?

FDIC stands for Federal Deposit Insurance Corporation

The Federal Deposit Insurance Corporation (FDIC) is an independent agency of the United States government that was established in 1933 to protect depositors by providing insurance for deposits in member banks and savings associations. The FDIC's primary mission is to maintain public confidence in the U.S. financial system by safeguarding depositors' funds, promoting sound banking practices, and managing failed banks. It insures deposits up to the legal limit, which helps prevent bank runs and supports financial stability in the banking sector.