Despite the recent government bailout of several large financial institutions there are a number of banks in very deep trouble and in danger of failing. Is your money safe, especially if there is a run on the bank? Many experts are doubting the ability for the Federal Deposit Insurance Corporation or FDIC to bail our multiple banks if customers "run on the bank" or all take out their deposits at once.
You see banks rarely have on hand the money necessary to pay all depositors if they were to come calling. They have loaned out much of that money and do not have it on hand although it is on the books. The FDIC has a limited supply of money available to pay each depositor the $100,000 per person insurance that applies to most state and national banks.
Of course the government would step in and print more money to fund the FDIC but the question is how long would it take for you to get your money back it your large bank failed? It could take months if funding measures were tied up in Congress.
It is a good idea to keep an eye on your bank's health. One good way is to visit Bankrate.com and check your bank's star rating. If your bank is one of those in danger of failing it may be a good idea to move your money to one with a higher star rating where it can weather the storm. For bank star ratings go to http://www.bankrate.com/brm/safesound/ss_home.asp