Bailout: Financial experts say to be calm about personal savings

Tampa, Florida - From Wall Street to Main Street, there's concern over the nation's economic stability. The FDIC and both presidential candidates are asking for Congress to increase the insurances limits on bank deposits to $250,000.

A day after the market takes one of the largest ever single day drops and days after the nation's two largest bank institutions go under, small business owner Cynthia Sharpe takes action to protect her savings.

"One thing I did was call my financial advisor then went to my bank and talked to them and got the assurance I need. I made changes to make sure my life savings is protected."

Financial expert Greg Ghodsi with 360 Wealth Management Group of Raymond James says the average bank account is safe.

"If they have under $100,000 per account, there's nothing to worry about, whether it's a small bank around the corner or a national bank it's business as usual." As bad as things look, Ghodsi says there are a lot of banks that did a good job managing their capital and are not in trouble.

Ghodsi says right now getting a loan is possible but it will cost more as the interest rate banks use to borrow from each other has doubled.

"What that means is banks don't trust each other to lend money," says Ghodsi.

So even if you have a high credit score, Ghodsi says you too will pay high interest rates on a loan.

"What we are having now is an issue of confidence and a lack of confidence in the market place." Ghodsi says it's not just a lack of confidence in investment houses but a lack of confidence in major banks and financial institutes here and around the world.

A lack of confidence doesn't mean one should withdraw their money or stop paying into their 401 K.

"The worst thing a person can do right now is make major chances to their financial world. When you get into stress crisis mode emotions get involved and emotions and investments don't mix," says Ghodsi.

Ghodsi suggests one take this time to review their banking and market investments. He recommends two websites: fdic.gov to check how the insurance on your deposits works and bankrate.com to check the stability and strength of your bank or credit union

"We encourage you to ride it out, wait for things to settle down, have a look at all your assets then make adjustments if necessary," advises Ghodsi.

He says you had too much money in the stock market if Monday's 777 point drop made you nervous or upset. "We've had periods of time when the market has gone down and come back, so remain patient."

Watching the stock market go up and down may be entertaining, but Ghodsi says one needs to worry about the day to day finances. He suggests having a diversified portfolio, a stock, bond and cash mix. Also keep emergency cash on hand in case you lose your job or have unexpected bills.

A bailout by the federal government Ghodsi believes will bring stability and confidence to the market place.

"It's a sick patient, the economy is. This is the first step to stop the bleeding. Over time we will need a period of time period of calm to get things back to normal."