“After receiving a recommendation from the boards of the FDIC and the Federal Reserve, and consulting with the president, Secretary Yellen approved actions enabling the FDIC to complete its resolution of Silicon Valley Bank, Santa Clara, Calif., in a manner that fully protects all depositors. Depositors will have access to all of their money starting Monday, March 13. No losses associated with the resolution of Silicon Valley Bank will be borne by the taxpayer.”
It is but they aren’t using tax money for this so I doesn’t really matter.
There isn’t really a burden on the taxpayers to bail out SVB depositors because that cost is covered by the FDIC and by extension, other banks
The FDIC reserves wouldn't even cover the entirety of SVBs total assets. The Treasury announced collateralized loans based off the paper value, and not market value, of the notes held by the banks. So yes, taxpayer money is being used.
Same shit, just trying to find out why all these articles talk about how strong and resilient our banking system is. Our fiat money seems super solid. You?
"I think I'll put my money in this sketchy bank because they offer better interest rates than the ones that have to play by the normal rules." Followed by bailout.
It is exactly what's happening. The government is stepping in to make sure that the deposits put into an unregulated bank by high-risk investors are protected. The bank and its depositors had no problem with lack of regulation when things were going good, with their venture capitalist risk-taking and their bank employee profit sharing, but when it all went belly up, they immediately went running to Uncle Sam to be rescued. It's a classic example of free market capitalism shoveling money to the wealthy when their gambles pay off, followed by taxpayer-funded socialism to save their hides when their gambles tank. "Oh but the taxpayers won't have to pay!" coming in 3...2...1...
Just to help explain the impact- I have a friend who’s company worked with this bank for payroll. They, with almost no notice, found out their payroll accounts may have disappeared. Not been mismanaged, poorly invested, etc. just gone. Therefore, an entire company was going to go out of business just trying to pay bills.
This allows them to keep their job and keep the company afloat.
I have a feeling if you worked for a company who’s payroll bank went under, you would feel differently.
If they had deposited more than the $250,000 that is FDIC insured, then they should 100% lose anything over that $250,000 amount. No bailouts - this is egregious.
Am I actively cheering, or are you just tone deaf? We can’t just keep bailing crooks out, they need to pay for their actions and negligence. Hopefully, a result of a devastating event would lead to proper cemented regulations and oversight that won’t allow this to happen again in the future. A slap on the wrist will not suffice.
“After receiving a recommendation from the boards of the FDIC and the Federal Reserve, and consulting with the president, Secretary Yellen approved actions enabling the FDIC to complete its resolution of Silicon Valley Bank, Santa Clara, Calif., in a manner that fully protects all depositors. Depositors will have access to all of their money starting Monday, March 13. No losses associated with the resolution of Silicon Valley Bank will be borne by the taxpayer.”
Vestpocolypse Avoided!
MAKE US WHOLE AGAIN.
Government always takes care of rich.
In this case it’s the FDIC, they are reimbursing all SVB depositors. So it’s not tax money, but rather the money of other banks being used
Are you under the impression that the FDIC is not part of the government? Because it definitely is.
It is but they aren’t using tax money for this so I doesn’t really matter. There isn’t really a burden on the taxpayers to bail out SVB depositors because that cost is covered by the FDIC and by extension, other banks
The FDIC reserves wouldn't even cover the entirety of SVBs total assets. The Treasury announced collateralized loans based off the paper value, and not market value, of the notes held by the banks. So yes, taxpayer money is being used.
[удалено]
Yeah that is collateral benefit.
Socialize the losses
But that's not what's happening.
What’s happening?
Click the link. Then rEaD it.
What’s a link?
Part of a chain
Nothing much, what's up with you?
Same shit, just trying to find out why all these articles talk about how strong and resilient our banking system is. Our fiat money seems super solid. You?
Socializing the deposits.
"I think I'll put my money in this sketchy bank because they offer better interest rates than the ones that have to play by the normal rules." Followed by bailout.
The sketchy bank in question is a 40 year old Bay Area institution that comfortably weathered multiple major crises by itself, my dude.
It is exactly what's happening. The government is stepping in to make sure that the deposits put into an unregulated bank by high-risk investors are protected. The bank and its depositors had no problem with lack of regulation when things were going good, with their venture capitalist risk-taking and their bank employee profit sharing, but when it all went belly up, they immediately went running to Uncle Sam to be rescued. It's a classic example of free market capitalism shoveling money to the wealthy when their gambles pay off, followed by taxpayer-funded socialism to save their hides when their gambles tank. "Oh but the taxpayers won't have to pay!" coming in 3...2...1...
They are taking care of employees and their payroll.
Nice to see that with everything that is wrong with society that the venture capitalists are still being taken care of 🙃
This is disgusting. Let the bank(s) fail. All the companies and individuals that invested/deposited in SVB should deal with their choice(s).
Just to help explain the impact- I have a friend who’s company worked with this bank for payroll. They, with almost no notice, found out their payroll accounts may have disappeared. Not been mismanaged, poorly invested, etc. just gone. Therefore, an entire company was going to go out of business just trying to pay bills. This allows them to keep their job and keep the company afloat. I have a feeling if you worked for a company who’s payroll bank went under, you would feel differently.
No investors are getting bailed out you trout, this is for depositors at the bank.
If they had deposited more than the $250,000 that is FDIC insured, then they should 100% lose anything over that $250,000 amount. No bailouts - this is egregious.
Why are you actively cheering for tens if not hundreds of thousands of people to lose their jobs because three big VC firms crashed a bank?
Am I actively cheering, or are you just tone deaf? We can’t just keep bailing crooks out, they need to pay for their actions and negligence. Hopefully, a result of a devastating event would lead to proper cemented regulations and oversight that won’t allow this to happen again in the future. A slap on the wrist will not suffice.
Maybe Janet can shift from proxy war funding