With stock prices tumbling, banks shutting down and each day bringing new concerns about the stability of the financial system, savers and investors are scrambling to find safe havens for their hard-earned money.

"Right now there is uncertainty in all the financial institutions we have," said Tim Buggy, a retirement planning specialist at AXA Advisors, Downtown. "People are uncertain about their banks, their money market funds and mutual funds."

Money flew out of the stock market and into U.S. Treasury bills last week in response to the Dow Jones industrial average falling as much as 777 points in a single day last week.

While Treasuries are considered to be the ultimate safe haven, the rising demand for government securities pushed the yield to near zero. The 30-day Treasury bill fell to a historic low of 0.05 percent, and one-year government bonds paid only 1.5 percent.

"In times like these, people aren't asking about yield," said Nick Laverghetta, a financial adviser at Brinton Eaton Associates in Madison, N.J. "All they want to know is that their money is guaranteed."

More than a dozen commercial banks have folded this year, most recently the venerable Washington Mutual. In trouble, Wachovia, the nation's fourth-largest commercial bank, agreed to a buyout Friday by Wells Fargo & Co. The bank failures and the dizzying downfall of financial giants such as Lehman Brothers, Merrill Lynch and AIG have challenged people's perception of safety when it comes to their money.

"The public has been inundated with one piece of bad news after another and understandably they are nervous about their savings and investments," said Mike Mortsensen, president and CEO of PNC Investments.

Although the recent high-profile bank failures have rattled some people's confidence in banks, Mr. Mortsensen said they should be comforted to see the system worked as it should.

"Every branch of those institutions reopened the next day and depositors had access to their money," Mr. Mortsensen said. "One of the best things you can do today is go to a bank."

Six-month CDs at U.S. banks last week were paying an average 3.20 percent. One-year bank CDs were on average paying 3.68 percent, according to Bankrate.com.

Until now, the Federal Deposit Insurance Corp. insured up to $100,000 on bank deposits and up to $250,000 on retirement accounts in the event of a bank failure. The bailout package approved by Congress on Friday raises the limit to $250,000 to reassure the nervous public.

The rules on joint, single and trust accounts are different and it's possible that accounts that exceed the limits are still covered. Depositors should contact their bank to be sure.

"Given what's going on in the market you do want to stay on top of your bank accounts," said Gerri Detweiler, a credit adviser with Credit.com in San Franciso and author of "Stop Debt Collectors."

"For a lot of people every penny matters," she said.

She suggests people who use online banking print out 12 months of statements and know how to get in touch with the companies that are authorized to withdraw funds in the event of a bank closure.

"If all you do is rely on online transactions you have no paper trail," she said. "I want to make sure the person living paycheck to paycheck and just paying their bills experience as little of this turmoil as possible."

After the net asset values of some money market funds fell below one dollar a share due to bad bets on financial institutions, the U.S. Treasury announced it also will begin guaranteeing funds that are in danger of "breaking the buck."

The Bank of New York Mellon took a $425 million charge to bail out 10 money market funds affected by the bankruptcy of Lehman Brothers.

"This market has made it loud and clear that there's nobody out there with a real good handle on what's going on," said Tom Geraghty, a partner with Stonegate Wealth Management in Fair Lawn, N.J. "So you have to clear through all the smoke and noise and figure out who do you trust.

"My clients are all in fine shape, but psychologically are being battered," he said.

Bob Hapanowicz, president of Hapanowicz & Associates, Downtown, said while Treasuries offer the most safety, the yield on them amounts to pennies. However, yields on two-year municipal bonds are between 3.5 and 4 percent.

"For longer term investors, periods of turbulence like now can offer exceptional opportunities for profit," he said. "Yields on high-quality tax-free municipal bonds are very attractive."

Investors are particularly rattled by the failure of firms such as Lehman Brothers, which is a holding company for brokerage accounts. The Financial Industry Regulatory Authority, which is the largest non-governmental regulator for securities firms doing business in the United States, recently put out an investor alert to explain what protections are in place for securities and cash in brokerage accounts.

There is insurance in place to protect investors' assets if a brokerage firm fails or the money is fraudulently taken, but there is no insurance against market loss.

"In calm, less turbulent times people take safety for granted and are focused on how well their stocks and bonds are performing," said John Gannon, senior vice president for investor education at FINRA. "I can tell you now investors are more concerned with how to keep their money safe.

"Given the amount of turbulence in the market it's understandable people are concerned about the amount of risk in the stock market," Mr. Gannon said. "But if they sell, they are likely locking in a loss on those investments. Historically the market has recovered. I can't promise it will. People need to make that decision for themselves."

Fox Chapel resident Joseph Pantone is an active trader who thrives on a high level of risk. On an average day he trades 12 to 15 stocks and ends up or down $70,000. In recent weeks, he's been down about $200,000 in his $1 million portfolio.

"Because of this [political and economic] situation, it's very uncertain," said Mr. Pantone, 83, who trades online at home. "Too many investors are gun-shy. They are putting their money in money markets and I can't blame them.

"A lot of people don't understand what's going on. There's too many products out there and they are confused. If you have a limited amount of money -- $10,000 or so -- get some closed end funds and forget about all the other garbage."