William Penn Life, 2002 (37. évfolyam, 1-11. szám)
2002-02-01 / 2. szám
banks purchase T-bills via book entry, meaning that there is an accounting entry maintained electronically on the records of the Treasury Department. No engraved certificates are issued. Treasury securities belong to the customer; the bank is merely acting as custodian. Customers who hold Treasury securities purchased through a bank that later fails can request a document from the acquiring bank (or from the FDIC if there is no acquirer) showing proof of ownership and redeem the security at the nearest Federal Reserve Bank. Or, customers can wait for the security to reach its maturity date and receive a check from the acquiring institution, which may automatically become the new custodian of the failed bank's T-bill customer list (or from the FDIC acting as receiver for the failed bank when there is no acquirer). Even though Treasury securities are not covered by federal deposit insurance, payments of interest and principal (including redemption proceeds) on those securities that are deposited to an investor's deposit account at an insured depository institution are covered by federal insurance on Treasury securities, they are backed by the full faith and credit of the United States Government. SAFE DEPOSIT BOXES The contents of a safe deposit box are NOT insured by the FDIC, or, generally, by the bank where the box is located. Read the contract you signed with the bank when you rented the safe deposit box in the event that some type of insurance is provided; some banks may make a very limited payment if the box or contents are damaged or destroyed. If you are concerned about the safety, or replacement, of items you have put in a safe deposit box, you may wish to consider purchasing fire and theft insurance. Separate insurance for these perils may be available; consult your insurance agent. Usually such insurance is part of a homeowner's or tenant's insurance policy for a residence and its contents. Again, consult your insurance agent for more information. If floods and earthquakes have been known to occur in your location, you may want to look into insurance against these natural disasters. In the event of a bank failure, in most cases an acquiring institution would take over the failed bank's offices, including locations with safe deposit boxes. If the FDIC conducts a payoff because no acquirer can be found, boxholders would be sent instructions about removing the contents of their boxes, jjjfj] In Summary FDIC-lnsured • Checking Accounts (including money market deposit accounts) • Savings Accounts (including passbook accounts) • Certificates of Deposit • Retirement Accounts (consisting of cash on deposit at a bank or thrift) Not FDIC-lnsured • Investments in mutual funds (stock, bond or money market mutual funds), whether purchased from a bank, brokerage or dealer • Annuities (underwritten by insurance companies, but sold at some banks) • Stocks, bonds, Treasury securities or other investment products, whether purchased through a bank or a broker/dealer your future withaWPfl tax-deferred annuity. New 9-Year Surrender Charge Annuity New 5-Year Surrender Charge Annuity New No Surrender # A AO/ Charge Annuity OiUv/0 6.25% 6.75% For more information about our annuity plans, contact your local WPA representative or our Home Office toll-free at 1-800-848-PENN. William Penn Mia, February 2002 5
