FDIC Insurance

Information Regarding the Transaction Account Guarantee Program (TAG)


Notice of Expiration of the Temporary Full FDIC Insurance Coverage for Non-Interest Bearing Transaction Accounts

By operation of federal law, beginning January 1, 2013, funds deposited in a noninterest-bearing transaction account (including an IOLTA) no longer will receive unlimited deposit insurance coverage by the Federal Deposit Insurance Corporation (FDIC).  Beginning January 01, 2013, all of a depositor’s accounts at an insured depository institution, including all noninterest-bearing transaction accounts, will be insured by the FDIC up to the standard maximum deposit insurance amount ($250,000), for each deposit insurance ownership category.  For more information about FDIC insurance coverage of noninterest-bearing transaction accounts, visit www.FDIC.gov.

For customers who desire or require FDIC coverage beyond the standard maximum of $250,000, MidSouth Bank can provide access to multi-million-dollar FDIC insurance through two well-established, well-respected services, Insured Cash Sweep (ICS) and CDARS.

  • With ICS, you can place funds into money market deposit accounts where you can make up to six program withdrawals per month
  • With CDARS, you can put excess cash balances to work in CDs at a range of maturities (4 weeks, 13 weeks, 26 weeks, 52 weeks, 2 years, 3 years, and 5 years).  You can also ladder your CDs to allow you access to your cash when you need it.

With both ICS and CDARS, you can enjoy the convenience of banking directly with us and of earning one interest rate per ICS service option or CD maturity.  And with access to multi-million-dollar FDIC insurance, you can forego the need for tracking collateral on an ongoing basis (if you are accustomed to doing so), having uninsured investments to note in financial statements, opening accounts under different insurable capacities, or maintaining accounts and tracking balances at different institutions.

For more information about the expiration of the TAG program, ICS, and/or CDARS, please call (615) 278-7100.