What You Need to Know About Bank Failures

Recent turmoil in the banking industry may have you worried about your money. Officials announced Monday that they closed San Francisco-based First Republic Bank, making it the third U.S. bank to collapse in the past two months. Most of First Republic’s assets are being acquired by JPMorgan. First Republic had wealthy clients who rarely defaulted on their loans. But the vast majority of deposits were above the $250,000 limit set by the Federal Deposit Insurance Corporation (FDIC), meaning they were uninsured. And that worried analysts and investors who were worried that if First Republic were to fail, its customers might…