The difference is that if you're putting more than $250k into a bank account the bank pulls you aside and discusses proper financial planning and investment. Or

The difference is that if you're putting more than $250k into a bank account the bank pulls you aside and discusses proper financial planning and investment. Or you're smart enough to know already what you're getting into. The FDIC protects retail investors, so even if a banks holdings are not 100% covered, the uncovered portions are for non-retail customers and other holdings, not your savings account.