Should You Keep Your Money in the Bank During a Recession? Experts Weigh In

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But what does this mean foryour finances?

Is your money safe to keep in the bank during a recession?

Taylor Kovar, CFP, founder and CEO of11 Financial, believes that it is.

Michael Collins, CFA, founder and CEO ofWinCap Financial, agreed.

According toPew Research data, the number of U.S. bank failures typically peaks during periods of economic decline.

Note that you dont need to apply for FDIC insurance.

Youre automatically covered when you open an account at an FDIC-insured institution.

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Before trusting your hard-earned money with a bank, use the FDICsBankFindtool to ensure the financial institution is insured.

One way to safeguard your finances during a recession is to diversify your accounts.

This way, your money can grow even in a low-interest environment.

Liquidity is crucial in uncertain times.

Ive seen people struggle during a recession because their assets were too tied up in investments.

For added security, consider spreading your funds across several banks.

This way, it’s possible for you to diversify your savings while maximizing your FDIC deposit insurance protection.