What is the definition of The Federal Deposit Insurance Corporation (FDIC)?

The FDIC, or Federal Deposit Insurance Corporation, is a quasi-governmental corporation created in 1933 alongside the Glass-Steagall act with the purpose of protecting deposits in financial institutions.

The FDIC covers almost all retail banks and this means that any deposits up to the value of $250,000 are insured and cannot be lost even if the bank files for bankruptcy.