Current Financial Topics
Money Market Accounts
Are money market accounts covered by FDIC insurance?
Yes. Money Market and Money Market Plus accounts at Northwestern Bank are fully insured by the FDIC, just like our other checking and savings accounts.
Some people are confused about the difference between money market deposit accounts (like our Money Market and Money Market Plus accounts) and money market funds (sometimes called money market mutual funds) offered by brokers and other investment providers. Unlike money market accounts, money market funds don't qualify for FDIC insurance.
Are loans still available?
Absolutely. Contrary to some news reports about banks tightening their credit standards, Northwestern Bank is lending, just as we have in the past. While we continue to apply the prudent credit policies we have always followed, we have money to lend to individuals and businesses. For the typical loan customer it is "business as usual" at Northwestern Bank.
Is there a difference between the federal government insurance on bank deposits and credit union deposits?
Bank deposits are insured by the Federal Deposit Insurance Corporation (FDIC). Federally chartered credit unions are covered by the National Credit Union Administration. Both the FDIC and the NCUA recently increased their individual account coverage from $100,000 to $250,000.
How can I find out if all my deposits are insured?
Stop by your local Northwestern Bank office and we'll be happy to review your coverage. Also, you can estimate your coverage by using the FDIC's online Electronic Deposit Insurance Estimator (EDIE).
Where can I get detailed information on how FDIC insurance works?
For answers to specific questions about FDIC insurance, visit the Facts For Depositors page on the FDIC Web site.
Other Northwestern Banks?
I heard about other banks called "Northwestern Bank" outside of Michigan. Should I be concerned about how these banks are doing?
No. There are three smaller banks in the U.S. named "Northwestern Bank" (in Iowa, Minnesota and Wisconsin), but they are completely separate institutions, with no connection to Northwestern Bank in Michigan. They just happen to have the same name.
If you have other banking questions that are not addressed here or would like more information on these topics, please contact us.