Depository Bonds allow banks to offer deposit protection in excess of the Federal Deposit Insurance Corporation (FDIC) insurance coverage to customers with deposits in excess of these limits (currently $250,000 per depositor). Typically, this type of bond is requested by educational institutions, governmental and quasi-governmental agencies, businesses and high-net worth individuals. This protection allows the bank to attract and retain customers without tying up the banks investments to back … [Read more...]