5. If you picked "True" you are correct.

BANK CDs PURCHASED THROUGH A BROKER. Some people who buy bank certificates of deposit (CDs) from brokers focus on what may be an attractive interest rate but don't pay attention to which institution issued the CD or whether the money was fully insured... until the bank fails. Among the ways people have gotten into trouble: Different brokers sold them CDs at the same bank (most likely because that bank was offering very high interest rates) and the total was more than $100,000. Or, a broker sold a customer a CD from the same institution where that person made deposits directly, and the combination of accounts went over the $100,000 limit. See full story...

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