Q: Can I sue FDIC for negligence and failure to liquidate my accounts?

A: The FDIC’s role is to insure deposits up to the legal limit and to manage accounts when a bank fails. If your deposits were placed in FDIC-insured banks, the FDIC generally guarantees coverage up to $250,000 per depositor, per bank, unless special structuring applies. Suing the FDIC directly can be very difficult, because it is a federal agency with broad protections against lawsuits unless strict legal procedures are followed.

If you believe the FDIC or participating banks mishandled your accounts or misled you, the first step is to gather all of your documentation in order—bank statements, written requests, and correspondence with the FDIC. You can file a formal administrative claim under the Federal Tort Claims Act (FTCA) before you would be able to bring any lawsuit in court. The FTCA requires you to submit your claim directly to the agency first, giving them a chance to review and respond before litigation is possible.

At the same time, it may help to confirm whether your funds were insured within the FDIC limits, or if some of your deposits exceeded coverage. If they were moved into “program banks” without your consent, that raises further questions about how your accounts were structured. By pursuing the administrative process and carefully documenting everything, you put yourself in the strongest position to either resolve the matter with the FDIC or move toward court if they continue to withhold your funds.