USA Law and Practice Contributed by: Edward P. O’Keefe, Neil T. Bloomfield, John A. Stoker and Kathryn (Kate) G. Wellman, Moore & Van Allen, PLLC
that are tied to the achievement of specific met - rics should be compatible with effective controls and risk management and support strong cor - porate governance. State-chartered Banks State-chartered banks would also be subject to any compensation restrictions or limitations established by applicable state laws or regula - tions. Financial institutions are responsible for per - forming several key functions to combat mon - ey laundering and terrorist financing in the US financial system. 6. Depositor Protection 6.1 Deposit Guarantee Scheme (DGS) The FDIC insures deposit products at each insured state- or federally-chartered bank (deposit accounts at credit unions are insured by the NCUA) up to the applicable insurance coverage limit. Coverage for FDIC insurance is not limited to citizens and residents of the United States and applies automatically when any per - son opens a deposit account at an insured bank. Examples of deposit products covered by FDIC insurance include: • checking accounts, negotiable order of with - drawal accounts, and savings accounts; • Money Market Deposit Accounts; • Certificates of Deposit; and • cashier’s checks and money orders. 5. AML/KYC 5.1 AML and CFT Requirements
Examples of financial products NOT covered by FDIC insurance include: • stocks, bonds, mutual fund investments, and municipal securities; • life insurance policies; • annuities; • US Treasury bills, bonds, or notes; and • cryptocurrency assets. Coverage for Deposits with Foreign Banks or that are Payable Outside of the United States Deposits at an FDIC-insured branch of a foreign bank that are contractually payable in the United States are insurable, unless it is a deposit to the credit of the foreign bank or any of its offices, branches, agencies, or any wholly owned sub - sidiary. Deposits payable solely at an office of an insured bank located outside of the United States are not considered deposits for FDIC eligibility insur - ance purposes. Limits of Coverage The standard FDIC insurance amount is USD250,000 per depositor at the bank and for each account ownership category (noted below) held at the bank. All accounts held by the depositor at the bank in the same account category are added together and insured up to the USD250,000 limit for each account category. Deposit account categories include: • single accounts; • joint accounts; • designated retirement accounts; • revocable trust accounts; • corporation, partnership, and unincorporated association accounts; • irrevocable trust accounts; • employee benefit plan accounts; and
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