Question

The Federal Deposit Insurance Corporation (FDIC) __________.

A.insures customer deposits if a bank fails
B.insures banks if a borrower does not repay the loan
C.insures homeowners against natural disasters
D.all of the above

Answer 1

The answer is A.insures customer deposits if a bank fails.
It does not insure banks if a borrower does not repay the loan and it does not insure homeowners against natural disasters.

Answer 2

A.insures customer deposits if a bank fails

Step-by-step explanation:

Government Deposit Insurance Corporation (FDIC), is an autonomous U.S. government corporation made under the authority of the Banking Act of 1933, with the obligation to guarantee bank deposits in qualified banks against loss in the event of a bank failure and to control certain financial practices. It was built up after the breakdown of numerous American banks during the initial years of the Great Depression.