that is the impression I have always thought, but this paragraph threw me.

To ensure complete liquidity, stay below the $250,000 cap at any one bank. Any money above that is at risk. When a bank fails, the FDIC sells whatever assets exist, and then splits the funds among the bank's creditors, including account holders whose deposits topped the FDIC limit. Historically, those account holders have recovered about 72 cents on the dollar, says David Barr, an FDIC spokesman, though that has dipped to as low as about 40 cents.

Not that I have anywhere near the cap... Ha. I guess the sentence "deposits topped the FDIC limit" is the problem area.

Ciao,
Bill Romano R-6330 (NJ)