The news describing the current state of the United States economy is extremely frightening. Credit is tough to come by, jobs are being loss, the real estate market is in shambles and banks keep failing and closing. As an American consumer, you probably have involvement in some of these economically distressed sectors. One thing that can help put your mind at ease is knowing that your bank account is protected and how that is done.
First think to know is that since the "run on the banks" that occurred during the Great Depression, safety measures have been Federally installed to protect account holders. During the Great Depression, people panicked and thought their banks would run out of money. Masses of people swarmed to withdraw their resources at the same time, which caused the banks to run out of money and for customers to loose their investments.
In 1933, the Federal Deposit Insurance Corporation was created as part of the Glass-Steagall Act. Deposits of up to $250,000 are now protected against that kind of loss and is a safety net all banks have in place to protect your account.
As technology advanced (and crime that takes advantage of it) so have the banks. Have you ever tried to make substantial cash withdrawal directly from the bank teller? Be prepared to show not only your banking ATM card (which probably has your photograph on it) but a picture ID as well.
Notice how banks have customers create their own PIN for their ATM cards? That is another safety measure put in place by banks so no one can swipe your information.
No one measure will fully protect your banking account. Yes, the bank and the Federal Government have many safety nets to protect you, but it is up to the consumer to monitor their records. By keeping a tight eye on your records, you can alert your bank of any fraudulent withdrawals and be part of the solution.