What government agency insures bank deposits up to $250,000 in case of bank failure?

The Federal Deposit Insurance Corporation (FDIC) is the government agency responsible for insuring bank deposits, protecting depositors by guaranteeing their deposits in member banks up to $250,000 in case of a bank failure. This insurance is crucial for maintaining trust in the banking system, encouraging people to deposit their money in banks without the fear of losing their savings. The FDIC's role is significant in maintaining financial stability and consumer confidence, as it helps to prevent bank runs by assuring depositors that their funds are safe.

The other agencies, while important in their own right, serve different functions. The National Credit Union Administration oversees and insures credit unions but does not cover banks. The Consumer Financial Protection Bureau focuses on consumer protection in financial matters but does not provide deposit insurance. Lastly, the Securities and Exchange Commission regulates the securities industry and protects investors but does not insure bank deposits. Understanding the role of the FDIC helps clarify the components of financial security and consumer trust in the banking system.