CDIC Reminds Charities and Non-Profit Organizations about Deposit Protection

OTTAWA, Dec. 01, 2017 (GLOBE NEWSWIRE) -- With the closing of the Government of Canada’s 2017 Workforce Charitable Campaign, the Canada Deposit Insurance Corporation (CDIC) would like to remind charities and non-profit organizations to familiarize themselves with deposit protection limits.  

CDIC protects eligible deposits at each CDIC member institution of up to $100,000 (principal and interest combined), per depositor, in each of the seven separately covered categories, in the event of a member institution’s failure. Although financial institutions in Canada rarely fail, there have been 43 member failures since CDIC was created in 1967 and no one lost a dollar of deposits under CDIC protection.

“Charities and non-profit organizations work to raise money that help improve the lives of people and their communities,” said CDIC President and CEO Michèle Bourque. “It is important that when charities and non-profits deposit their donations they be aware of what CDIC insures. This knowledge allows them to make informed decisions about the protection of these funds.”

To confirm if these deposited donations are safe in the event of a member failure, charities and non-profit organizations can discuss coverage limits with their CDIC member institution or with a financial professional. CDIC also provides further information on deposit protection at www.cdic.ca.

CDIC’s employees continue to participate in the United Way fundraising campaign alongside other Crown corporations and government departments and agencies, as part of the Government of Canada Workplace Charitable Campaign (GCWCC).

CDIC is a federal Crown corporation established in 1967 to protect the savings of Canadians, and we contribute to financial stability by safeguarding over $770 billion in deposits. As resolution authority, we are responsible for handling the failure of any of our members, from the smallest to the largest.  Our members include banks, federally regulated credit unions as well as loan and trust companies and associations governed by the Cooperative Credit Associations Act that take deposits. We are funded by premiums paid by member institutions and do not receive public funds to operate.