M1 High-Yield Savings accounts are furnished by B2 Bank, which uses a deposit network to help eligible customers access greater FDIC insurance coverage—up to $5 million. This article explains how your funds are protected and how the deposit network works.
How FDIC Insurance protects your funds
The Federal Deposit Insurance Corporation (FDIC) insures bank deposits up to $250,000 per depositor, per bank, and per account ownership category. This insurance protects your funds in the unlikely event a member bank fails.
How M1 offers coverage beyond $250,000
If you have more than $250,000 in your M1 High-Yield Savings account, B2 Bank uses a network of partner banks to spread your funds across multiple institutions. This expands your FDIC insurance coverage—up to $5 million per depositor.
Because FDIC insurance is based on the depositor, institution, and account type, moving funds to network institutions provides enhanced FDIC coverage up to $5 million. Even with this structure, all funds are available to customers on demand and there is no interruption to funds access.
How the deposit network works
Your deposit is received by B2 Bank (the partner bank behind M1 High-Yield Savings).
If your balance exceeds $250,000, B2 Bank automatically allocates funds over that amount to other banks in the deposit network.
This structure maintains your FDIC insurance coverage, up to a combined $5 million, provided you do not also have deposits at those same network banks elsewhere.
You continue to access your full M1 savings balance on-demand with no interruption.
Note: The FDIC insurance limit applies to your total deposits held at each network bank, including both M1 and any other accounts you may own at that institution.
Reviewing the list of network banks
You should review the current list of network banks regularly.
If you already have accounts at any of these participating banks, consider your combined deposits to ensure you do not exceed the $250,000 insurance limit per bank.
You may consider reducing your balance at the listed participating institutions to ensure complete insurance coverage.
M1 High-Yield Savings Accounts are furnished by B2 Bank, NA, Member FDIC (“B2”). M1 is not a bank. B2 Bank is a member FDIC institution and does not itself provide more than $250,000 of FDIC insurance per legal category of account ownership as described in FDIC regulations. Additional FDIC insurance coverage is provided through B2’s Insured Deposit Network Program involving other FDIC insured depository institutions. Deposits may be insured up to $5,000,000 through B2’s Insured Deposit Network Program. Full terms of the Program can be found at m1.com/legal/agreements/hysa_agreement and a complete list of participating banks in the program can be found at m1.com/legal/agreements/depositnetwork
This content was generated using artificial intelligence and is intended for informational and educational purposes only. While reasonable efforts are made to ensure accuracy, AI-generated outputs may omit key context; and should not be construed as financial, investment, legal, or tax advice. Users should independently verify all information and consult a qualified professional before making any financial decisions.
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