11 Tips for Helping Clients Worried About Their Cash: Advisors' Advice

9. Reach Out for Details

Whether or not clients express concerns about moving their money, recent bank failures are top of mind for everyone. Although my clients have yet to express this concern, this is a great time to reach out to clients and discuss the importance of where your clients keep their cash.

Often, money is making less than 1% interest, yet high-yielding savings accounts yield upwards of 4%. While discussing the best place for their money, besides considering investing it, earning more interest or eliminating debt, I mention FDIC coverage rather than wonder if they are concerned about it.

I explain that depositing their money into an account with an FDIC-insured bank provides automatic deposit insurance coverage for up to $250,000, protecting it in the event of bank failure. Higher net-worth clients with trust accounts will also appreciate conversations about the impact of the FDIC’s new deposit regulations amendment effective April 1, 2024 (to simplify deposit insurance rules for trust accounts).

— Alissa Krasner Maizes, founder of Amplify My Wealth, licensed attorney and registered investment advisor