On: Flexcoin is shutting down

[maxerickson]

That's not strictly true, people lose money above the insurance limit all the time. The reports here frequently discuss it:

http://www.fdic.gov/bank/individual/failed/banklist.html

If you go here, you see depositors not being made whole:

http://www2.fdic.gov/divweb/index.asp#bottom

But $250,000 of insurance for each account is much better than none.

[pjc50 → maxerickson]

Neither of those two citations actually list or enumerate people losing any value of their deposits. They just describe the process by which it would happen.

(That's a lot of banks! The US system seems quite fragmented?)

[maxerickson → pjc50]

If you select "All Banks" in the drop down at the bottom and run a report, you see a bunch of "Final" dividends where the percent paid is less than 100%. I'm pretty sure that's people losing value of their deposits.

(remember, those are 'dividends to claimants' and the claimant listed is almost always 'depositors')

[ars → maxerickson]

If you have more than $250,000 and didn't use one of these services[1] then you were really negligent with your money.

[1]http://www.bankrate.com/finance/savings/6-ways-to-insure-exc...

Basically there are banks that will divide your money amongst a bunch of independent banks, and let you access the money as if it were all in one bank.