If you’ve ever worried about keeping a large amount of money safe in the bank, you’re not alone. The U.S. government protects deposits through FDIC insurance but that protection has limits. That’s where IntraFi Network Deposits comes in.
IntraFi offers a simple way to protect large cash balances without opening multiple bank accounts yourself. This guide explains how it works, why people use it, and whether it makes sense for you.
What Is IntraFi Network Deposits?
IntraFi Network Deposits is a service that allows you to spread your money across multiple FDIC-insured banks while working with just one bank.
Instead of opening separate accounts at different institutions, you deposit your money at a single participating bank. That bank then distributes your funds into certificates of deposit (CDs) at other banks within the IntraFi network.
This strategy keeps your deposits under the FDIC insurance limit at each bank, so your entire balance remains protected.
Think of it like hiring a manager to divide your savings across multiple secure vaults, instead of doing it yourself.
Why FDIC Insurance Limits Matter
FDIC insurance protects your money if a bank fails. The standard coverage limit is:
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$250,000 per depositor
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Per bank
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Per ownership category
For most people, this is more than enough. But higher balances are common among:
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Retirees who sold a home or business
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Business owners holding operating cash
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Investors temporarily holding cash between investments
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Families managing inheritance funds
If you deposit more than $250,000 in one bank, the excess amount may not be insured.
For example:
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You deposit $500,000 in a single bank
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FDIC insurance protects $250,000
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The remaining $250,000 may be at risk if the bank fails
That’s why spreading funds across multiple banks is important.
How IntraFi Solves This Problem
IntraFi automatically divides your money among multiple participating banks.
Here’s how it works step by step:
1. Open an Account at a Participating Bank
You start by choosing a bank that offers IntraFi services. Thousands of banks across the U.S. participate.
You only need one account.
2. Deposit Your Money
After signing a deposit agreement, you place your funds into CDs through your bank.
Your bank then distributes the funds to other banks in the network.
For example:
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You deposit $1 million
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IntraFi divides it into smaller amounts (for example, $200,000 per bank)
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Each portion stays within FDIC insurance limits
Result: your entire $1 million is fully insured.
3. Manage Everything in One Place
Even though your money is spread across many banks, you don’t need to manage multiple accounts.
You receive:
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One account
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One interest rate per CD term
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One consolidated statement
This makes tracking your savings simple.
CD Terms Available Through IntraFi
IntraFi offers CDs with different maturity periods, including:
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1 month
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3 months
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6 months
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1 year
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Up to 5 years
You can choose terms based on your financial goals.
For example:
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Short-term CDs if you need access soon
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Long-term CDs if you want higher interest rates
How Much Does IntraFi Cost?
You don’t pay direct fees to use IntraFi.
There are:
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No subscription fees
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No account management fees
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No transaction fees
However, there is an indirect cost.
The interest rate (APY) on IntraFi CDs may be slightly lower than the highest CD rates available on the market.
This is the trade-off for convenience and full FDIC protection.
In simple terms:
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You may earn slightly less interest
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But gain easier management and full insurance protection
Is IntraFi Safe?
Yes. IntraFi is a legitimate and well-established service operating since 2003.
Here’s why it’s considered safe:
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Your money is deposited directly in FDIC-insured banks
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You receive full FDIC protection within insurance limits
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IntraFi itself does not hold your money
If one bank fails, FDIC insurance protects your deposits.
Real-Life Example
Imagine Sarah sells her home and has $800,000 in cash.
She wants to keep the money safe while deciding what to do next.
Without IntraFi, she would need to:
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Open accounts at four different banks
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Track four logins
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Monitor four separate statements
With IntraFi:
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She opens one account
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Deposits $800,000
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The system spreads funds across multiple banks
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She receives one statement
Her entire balance remains fully insured.
Alternatives to Using IntraFi
IntraFi isn’t the only way to protect large deposits. Here are other options:
1. Open Accounts at Multiple Banks Yourself
You can manually open accounts at different FDIC-insured banks.
Example:
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$200,000 at Bank A
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$200,000 at Bank B
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$200,000 at Bank C
This works but requires more effort and organization.
2. Use Brokered CDs
Brokerage firms allow you to buy CDs from multiple banks inside one investment account.
Benefits include:
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One account
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Access to many banks
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Competitive rates
However, brokered CDs can be more complex.
3. Use Cash Management Accounts
Some brokerage cash accounts automatically distribute your cash across multiple partner banks.
This provides:
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FDIC insurance
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Easy access to funds
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Simple management
But these accounts may offer lower returns than CDs.
Important: You May Already Have More FDIC Coverage Than You Think
FDIC coverage depends on ownership structure.
You may qualify for higher coverage if you have:
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Joint accounts (coverage per owner)
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Trust accounts (coverage per beneficiary)
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Retirement accounts (separate coverage category)
Example:
A joint account with two owners may be insured up to $500,000 at one bank.
Before using IntraFi, check your existing coverage.
How to Verify FDIC or Credit Union Insurance
Always confirm your bank is insured.
You can check:
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FDIC-insured banks through FDIC.gov
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Federally insured credit unions through the National Credit Union Administration (NCUA.gov)
Credit unions offer equivalent protection through the NCUSIF insurance program.
Who Should Consider IntraFi?
IntraFi may be useful for:
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Individuals with more than $250,000 in savings
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Retirees protecting large cash balances
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Business owners managing operating cash
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People who want simplicity without managing multiple banks
It’s especially helpful if safety and convenience are more important than earning the absolute highest interest rate.
Who May Not Need IntraFi?
You may not need IntraFi if:
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Your total deposits are under $250,000 per bank
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You’re comfortable opening accounts at multiple banks yourself
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You want the highest possible CD rates
The Bottom Line
IntraFi Network Deposits makes it easy to keep large amounts of cash fully FDIC-insured without managing multiple bank accounts.
It offers:
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Full FDIC protection across multiple banks
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One account and one statement
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Simple management
In exchange, you may earn slightly lower interest compared to shopping for CDs on your own.
For people with large cash balances who prioritize safety and convenience, IntraFi can be an excellent solution.
