People with more than $100,000
I have what might be a silly question.
I live in a condominium that has a homeowner's association. The latest set of meeting minutes just came out. I noticed in the financial section that the Board of Directors has $138,000 in a checking account - not sure what bank. Not an on-line bank though. Also, if it makes any difference, the homeowner association is a not-for-profit organization. With FDIC only insuring up to $100,000, would the association lose the $38,000 if the bank went belly up? Or does it matter that it is a not-for-profit organization? I've repeatedly suggested that they not keep over $100,000 in a checking account - to no avail. I do know that, according to our governing documents, that the money cannot be tied up in a CD for more than a year, and that it can't be invested, say in mutual funds or the stock market.
Where do people keep money if they have more than $100,000?