Yes, CIT Bank is FDIC insured. It operates as a division of First-Citizens Bank & Trust Company, and every deposit account carries the full backing of the Federal Deposit Insurance Corporation up to $250,000 per depositor, per ownership category.1CIT Bank. FDIC Insurance and Coverage Details One catch matters before you do the math on your own accounts: CIT Bank and First-Citizens Bank share a single FDIC certificate, so deposits at both count against the same limit rather than being insured separately.
Why CIT Bank Shares a Certificate With First-Citizens
CIT Bank became a division of First-Citizens Bank & Trust Company after CIT Group Inc. merged with First Citizens BancShares. The FDIC finalized the transition on January 4, 2022, and CIT Bank now operates under First-Citizens Bank & Trust Company’s FDIC certificate number 11063.2Federal Deposit Insurance Corporation. BankFind Suite – CIT Bank, National Association That certificate is active, meaning your deposits are backed by the full faith and credit of the U.S. government.3Federal Deposit Insurance Corporation. BankFind Suite – First-Citizens Bank and Trust Company
The shared-charter detail catches people off guard. If you hold $200,000 in a CIT Bank savings account and $100,000 in a First-Citizens Bank checking account under the same ownership category, only $250,000 of that $300,000 total is insured.1CIT Bank. FDIC Insurance and Coverage Details Treat the two banks as one when you check your coverage.
How to Confirm the Coverage Yourself
The FDIC runs two free tools. BankFind lets you look up any institution by name to confirm it is FDIC-insured, view its certificate number, and see its current operating status.4FDIC Information and Support Center. How Do I Find Out If a Bank Is FDIC-Insured The Electronic Deposit Insurance Estimator (EDIE) goes further: enter your accounts and balances and it shows exactly what is covered and whether any portion is exposed.5Federal Deposit Insurance Corporation. Electronic Deposit Insurance Estimator (EDIE) If you have accounts at both CIT Bank and First-Citizens Bank, enter them together, since they fall under one certificate.
What the $250,000 Limit Actually Covers
The standard maximum deposit insurance amount is $250,000 per depositor, per insured bank, per ownership category.6eCFR. 12 CFR 330.1 – Definitions Coverage is automatic. You do not apply for it and you do not pay a premium. It applies to checking accounts, savings accounts, money market deposit accounts, and certificates of deposit.7Federal Deposit Insurance Corporation. Understanding Deposit Insurance
FDIC insurance does not cover investments purchased through a bank, including stocks, bonds, mutual funds, annuities, or crypto assets. It also does not cover the contents of a safe deposit box. A safe deposit box is a storage service, not a deposit account, so what you keep in it sits entirely outside FDIC protection.8FDIC Information and Support Center. Is a Safe Deposit Box, Theft, Fraud, Stocks or Investments Insured by the FDIC
How to Get More Than $250,000 Covered
The $250,000 limit applies separately to each ownership category you hold at the same bank. Funds in different categories are not combined. One person can have $250,000 insured in an individual account, another $250,000 insured through their share of a joint account, and another $250,000 in a retirement account, all at CIT Bank, all fully covered.9Federal Deposit Insurance Corporation. General Principles of Insurance Coverage
Individual Accounts
All single-ownership deposits at the same bank are added together and insured up to $250,000 in total. A checking account with $80,000 and a CD with $200,000, both in your name alone, add to $280,000, so $30,000 is uninsured.10eCFR. 12 CFR 330.6 – Single Ownership Accounts
Joint Accounts
Joint accounts held by two or more people qualify for separate insurance from each co-owner’s individual accounts. Each co-owner’s share across all qualifying joint accounts at the same bank is insured up to $250,000. For a two-person joint account with equal shares, that means up to $500,000 in total coverage.11eCFR. 12 CFR 330.9 – Joint Ownership Accounts
Retirement Accounts
Deposits held in qualifying retirement accounts get their own $250,000 of coverage, separate from your other accounts. Eligible types include Traditional, Roth, SEP, and SIMPLE IRAs; self-directed 401(k)s, profit-sharing plans, and money purchase plans; self-directed Keogh plans; and Section 457 deferred compensation plans. All qualifying retirement deposits owned by the same person at the same bank are combined and insured up to $250,000 in total, not $250,000 per account.12Federal Deposit Insurance Corporation. Certain Retirement Accounts
Trust Accounts
Since April 1, 2024, revocable trusts, irrevocable trusts, payable-on-death accounts, and in-trust-for accounts have all been combined into a single trust ownership category. Coverage equals $250,000 multiplied by the number of unique beneficiaries named, capped at five beneficiaries.13eCFR. 12 CFR 330.10 – Trust Accounts The most any single trust owner can insure at one bank in this category is $1,250,000. Naming ten beneficiaries does not push coverage past that ceiling.14Federal Deposit Insurance Corporation. Your Insured Deposits
Business Accounts
Sole proprietorships do not get separate coverage. Deposits in a DBA account are treated as the owner’s personal funds and added to their individual accounts at the same bank.10eCFR. 12 CFR 330.6 – Single Ownership Accounts Corporations, partnerships, and LLCs engaged in legitimate independent business activity qualify for separate insurance up to $250,000, distinct from the personal accounts of any owners.15Federal Deposit Insurance Corporation. Corporation, Partnership and Unincorporated Association Accounts
What Happens If CIT Bank Ever Failed
The FDIC pays insured deposits within a few days of a bank closing, usually by the next business day. You get your funds through one of two methods: a new account at another FDIC-insured bank holding the insured balance, or a check mailed for the insured amount.16Federal Deposit Insurance Corporation. Deposit Insurance FAQs
Straightforward accounts within the $250,000 limit move fast and largely automatically. Complex situations, such as accounts tied to trust documents, balances above the limit, or deposits placed through brokers, take longer because the FDIC may need additional documentation to determine the correct insurance amount.16Federal Deposit Insurance Corporation. Deposit Insurance FAQs
Any amount above the insured limit is not automatically lost. The FDIC sells the failed bank’s assets and distributes the proceeds to uninsured depositors on a proportional basis. Recovery depends on what those assets bring in, and payments arrive in installments rather than a lump sum.