Money matters.(QA)(Brief article)(Column)

[ILLUSTRATION OMITTED]

I'm looking to save $20,000 by my 50th birthday in 2013. I've recently started putting money into an ING Bank savings account, direct deposit $55 bi-weekly. I want my deposit to be at $100 to $200 a month by 2011. How safe is this bank? Are they covered under FDIC?

--A. Amara

Via E-mail

Yes, your money is safe. And ING Bank is, in fact, a member of the FDIC. So, if your bank, for any reason, is unable to pay back depositors, the Federal Deposit Insurance Corp. (FDIC) will step in and reimburse you up to $250,000. One thing to remember: FDIC coverage reverts back to its precrisis limit of $100,000 on Dec. 31, 2013.

You're not alone in your worries. Our recent period of financial failures and bailouts has left a lot of consumers wondering whether their money is safe in the nation's banks. Banking customers who want to check on their favorite financial institutions can go to www2.fdic.gov/idasp/ main_bankfind.asp The site's search function can tell you whether your bank is FDIC insured. It can also help you locate the bank's nearest branch and answer other questions such as: "Where is my bank's main office located?"

For consumers who care to delve further into their bank's financial footing, the nonprofit public interest journalism organization ProPublica maintains an updated list of banks and how much U.S. government bailout money they've received at http://bailout.propublica.org/main/list/index. ProPublica's site also includes a collection of banks and other companies that have paid back government rescue monies. Just so you know, your bank's parent company, The Netherlands-based ING Group, doesn't appear on ProPublica's list. It didn't get rescue cash from the U.S. government, but did, however, get a $13.4 billion bailout from Dutch officials last fall. Even so, the firm continues to be rated highly for its ability to repay debtors.

Print Get the Mag Weekly Updates