By Sabrina Karl

For anyone with savings in the bank, the recent headlines may have felt unsettling. In the space of three days, two banks failed, dominating much of the news cycle.

Part of why the news feels so big is that we rarely experience bank failures these days. In the three years following the 2008 financial crisis, almost 400 U.S. banks failed. That triggered the adoption of stricter banking regulations and as a result, we’ve witnessed a mere ten bank failures in the last six calendar years.

Still, the recent news makes many wonder if the money they’re holding in the bank is safe. The good news is that for the vast majority of Americans, the answer is a resounding yes.

The safety net that protects most of us is the Federal Deposit Insurance Corporation, or FDIC, an independent agency of the U.S. government. As its name states, it insures deposits, meaning if a bank where you hold funds in a savings, checking, money market, or CD account goes under, the federal government will reimburse you for any lost funds.

While the coverage is not unlimited, the FDIC insures up to $250,000 in deposits. Not only that, the coverage applies both per person and per institution. So for a couple with a joint account, they each receive $250,000 in coverage, for a combined $500,000.

In addition, you’re covered up to $250,000 at every bank where you hold deposits. So even if you have more than $250,000 on account, you can easily protect yourself by spreading the funds across multiple banks.

Conveniently, the same $250,000 in coverage is extended to depositors at credit unions as well, through the National Credit Union Association, or NCUA. So a simple check that your institutions are either FDIC or NCUA members means your funds are protected.