This FAQ applies to Flourish Cash. You can review Flourish Crypto FAQs here.
Generally, you should only exclude Program Banks with which you already have (or plan on having) direct or indirect accounts held in the same FDIC ownership category. You can learn more about the FDIC ownership categories on the agency's website, which also contains resources on learning more about FDIC insurance coverage guidelines and restrictions. For example, if you have an individual Flourish Cash account with no named beneficiaries, you may wish to exclude Program Banks with which you directly hold individual accounts with no beneficiaries (whether it’s checking, savings, money market accounts, or CDs). This is because the FDIC insurance coverage limit is aggregated across all accounts held in the same FDIC ownership category at a particular bank.
Typically, all of a customer’s deposits at a Program Bank (including deposits held outside Flourish Cash) count toward the FDIC insurance limit for deposits at that Program Bank. Customers are responsible for monitoring whether they maintain deposits at a Program Bank outside of Flourish Cash and should consider opting out of having their cash swept to any such Program Bank to avoid exceeding FDIC insurance limits. If a customer has deposits at a Program Bank outside of Flourish Cash and does not opt out of having their cash swept to such Program Bank, that customer could have funds swept to the Program Bank in an amount above the applicable FDIC insurance limit, and such funds above that limit would not be eligible for FDIC insurance.
Excluding Program Banks may reduce the total amount of FDIC coverage insurance available to you in Flourish Cash. Please see your Account Agreement for more details on how FDIC insurance coverage is aggregated across different accounts at the same bank.
Flourish Cash currently has a tiered interest rate structure, as set forth in the rate tier summary. We deposit your cash with one or more of the Program Banks, subject to any Program Bank(s) you have excluded. You will earn the highest rate offered by Flourish up to the maximum deposit amount for each tier. The Flourish Cash interest rate(s) could be lower than the rate that could be earned by opening a deposit account directly with a Program Bank.
To learn how to control Program Bank deposit settings, click here.
To learn more about how to find your maximum FDIC coverage available for your account based on your Program Bank deposit settings, click here.