Where should governments check to make sure their bank/financial institution is in good standing?

For governments seeking to verify that their bank or financial institution is in good standing, it is essential to consider regulatory oversight from multiple reputable sources. The Federal Deposit Insurance Corporation (FDIC) plays a crucial role as it provides insurance on deposits made at member banks, thereby promoting public confidence in the U.S. financial system. The FDIC also regularly examines financial institutions to ensure they comply with applicable laws and regulations, which is integral to assessing their financial health and stability.

In addition, state banking regulators are responsible for overseeing banks and financial institutions operating within their respective jurisdictions. They ensure that these institutions adhere to state laws and regulations, and they conduct examinations and audits to assess the condition and soundness of the financial entities they regulate.

By consulting both the FDIC and state banking regulators, governments can obtain a comprehensive view of a bank's safety and soundness, as well as its compliance with laws governing banking practices. This dual approach guarantees that the governmental entity is leveraging both federal and state resources to ensure the institution is operating effectively and responsibly.