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tommiez asks,

Can someone please tell me if an FDIC insured internet bank is as safe (for a 5 yr CD) as a traditional walk-thru bank in the event of a bank failure. The internet banks appear to offer a higher rate of return on CD's and according to's rating sources, many of them are rated "sound," as well. My concern is that they don't have the backing of a "real" bank and have only been functioning for a very short time. Thank you for any feedback.

As long as you are sure that the "Internet bank" is really FDIC-insured and they are not just putting the FDIC logo on their marketing materials, the guarantee is the same. FDIC insurance isn't dependant on the length of time the bank has been in operation.

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