Betterment Cash Reserve: who holds your money

Betterment Cash Reserve's disclosure, read on September 5, 2026, describes FDIC pass-through coverage, deposit insurance through partner banks. Coverage depends on customer identification and recordkeeping. It protects eligible deposits when a partner bank closes, not the app company itself. An app closure does not trigger that protection. The visible disclosure and notes provide the programme’s specific conditions.

Current commentary

Betterment Cash Reserve is not a bank, and customer money sits across a network of 25 partner banks. Deposit insurance reaches each customer through the partner banks, provided Betterment Cash Reserve keeps records identifying each customer. The stated limit is $250,000 per depositor, per insured bank, for each account ownership category. Betterment Cash Reserve’s disclosure describing this arrangement was read as of September 5, 2026.