![]() ![]() The FDIC insurance limit for all ownership categories in the Insured Bank Deposit Sweep Program is $250,000 per program bank. The daily sweep computation factors in your USD cash, account equity, margin requirements, short stock value, projected cash settlements, and initial $250,000 SIPC buffer to determine the maximum free credit excess to sweep.įDIC insurance limits apply to all of your eligible deposits at a bank. We designed our proprietary sweep algorithm to seamlessly integrate with your IBKR account and optimize FDIC-insurance coverage without disrupting your regular trading activity. Eligible cash balances consist of USD free credits, generally defined as cash in your IBKR account in excess of margin requirements and short stock value, above the first $250,000 reserved for SIPC coverage and up to the program limit of $2,500,000.By using multiple banks versus a single bank, the program is able to provide up to $2,500,000 of FDIC insurance for your deposits. If your program balance nears the FDIC limit at one of these banks, additional cash is deposited at the next bank on a list of approved banks, thereby ensuring clients don't exceed current limits. When you join the Insured Bank Deposit Sweep Program, deposits are made on your behalf into interest-bearing accounts at one or more FDIC-insured banks within the program.Activation generally takes place overnight. Eligible IBKR clients can enroll in the program by logging into their account and accessing "Insured Bank Deposit Sweep Program" under the account settings option.In the future IBKR may, at its discretion, add additional account types to the program.IBKR Pro accounts that are Individual accounts without a designated transfer-on-death beneficiary, IBKR Pro accounts that are IRAs (excluding IBKR Asset Management IRAs) and organizational accounts are eligible to participate in the program.Competitor programs often include a spill-over bank for excess funds, which may not be FDIC-insured. Excess cash above the program limit of $2,500,000 remains at IBKR and is protected under client protection regulations.Convenience of having your IBKR account cash balance 3, FDIC-insured deposits and investments appear on one statement.Competitive interest rate 1, same as for cash deposits in your IBKR account.Cash balances above $2,750,000 remain subject to safeguarding under the SEC's Customer Protection Rule 15c3-3, backed by the firm's equity capital, which exceeds $11.6 billion 2. IBKR sweeps each participating client's free credit balances daily to one or more banks, up to $246,500 per bank, allowing for the accrual of interest and keeping within the FDIC protected threshold. Clients continue earning the same competitive interest rates 1 currently applied to cash held in IBKR accounts. Our Insured Bank Deposit Sweep Program 5 allows eligible IBKR clients to obtain up to $2,500,000 of FDIC insurance 4 in addition to existing $250,000 SIPC coverage 4 for total coverage of $2,750,000. ![]()
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