And just like that….SVB is bailed out

[g5000]

The FDIC already charged banks for the fund. If they are going to charge them more, then the customer is just going to pay more.

FDIC: Deposit Insurance - Assessments

FDIC: Deposit Insurance - Assessments

www.fdic.gov

 

[task0778]

Now, we the taxpayers, just covered all the non-FDIC insured deposts

I think this is a horrible idea that sets a precedent for future bank bailouts that should not be backed by the US Treasury beyond the $250k limit prescribed by law. Biden's tough talk is just so much smoke up your skirts; nobody will be going to jail for this.

 

[Biff_Poindexter]

I think this is a horrible idea that sets a precedent for future bank bailouts that should not be backed by the US Treasury beyond the $250k limit prescribed by law. Biden's tough talk is just so much smoke up your skirts; nobody will be going to jail for this.

Why don't you rightwingers put your money where your mouth is -- and take your money out of banks that are FDIC


In fact, you should demand that Republicans start campaigning on getting rid of FDIC...it is far too woke and communist for you real Americans!!

 

[Burgermeister]

What could go wrong with the US government declaring the discretionary power to completely bail out a bank if they decide to? Better get right with the administration - have your DEI programs tuned up, climate change BS addressed, Democrat contributions current.

"With approval of the Treasury Secretary, the Department of the Treasury will make available up to $25 billion from the Exchange Stabilization Fund as a backstop for the BTFP. The Federal Reserve does not anticipate that it will be necessary to draw on these backstop funds.

After receiving a recommendation from the boards of the Federal Deposit Insurance Corporation (FDIC) and the Federal Reserve, Treasury Secretary Yellen, after consultation with the President, approved actions to enable the FDIC to complete its resolutions of Silicon Valley Bank and Signature Bank in a manner that fully protects all depositors, both insured and uninsured. These actions will reduce stress across the financial system, support financial stability and minimize any impact on businesses, households, taxpayers, and the broader economy."

 

[pknopp]

Fast-forward to the weekend when people started appearing out of the woodwork online to beg for a bailout, even when in some cases they were responsible for creating the run on the bank in the first place, and were even trying to profit off of it in the interim.

All of which is to say that SVB was as far from It’s A Wonderful Life’s Savings and Loan as you could get. And in the act of bailing it out, the Federal Reserve has now committed to also giving loans to any other banks who are seeing short-term losses on investments following recent interest rate hikes. In plain English what this means is a preemptive promise to bail out other banks that might have screwed up.

Roblox Is Being Handed $150 Million By Government After Bank Collapse, Money Isn't Real

So you pay higher rates when you buy a car, house, use your credit cards but the banks once again get billions that will be a shell game that never gets paid back.

This is why I want it all to burn down.

 

[multivita-man]

But the wealthy know how to run a business and give people jobs.

And on the 7th day, God created "the job creators" and said unto them, capitalize the gains and socialize the losses.

These are the same fucking financial institutions that will take any one of us posting here to civil court and have our wages garnished if we don't file for bankruptcy protection, but our tax dollars bail their losses on shit-coin gambling.

 

[WEATHER53]

So the rules of FDIC insurance mean absolutely nothing? The Fed can just make it up as they go?

Covid opened this door and without huge effort it will never be closed again

 

[BasicHumanUnit]

What? huh??
Did you (peons, nobody, serfs, peasants) think YOU actually mean anything in their agenda and plans ???
Who the hell are you?!?
YOU are sacrificial lambs to be used, slaughtered and devoured as THEY please. Pawns. Nothing more. Get used to it.

Just the beginning. PLEASE....keep doing nothing

 

[task0778]

Why don't you rightwingers put your money where your mouth is -- and take your money out of banks that are FDIC


In fact, you should demand that Republicans start campaigning on getting rid of FDIC...it is far too woke and communist for you real Americans!!

What the fuck are you talking about? Covering the losses of those with accounts under $250k is one thing, but covering the accounts above that amount is bullshit IMHO. I'm okay with the former, although I also think the banks should be paying more into the FDIC. But above that I think the investors and depositors should be on their own. If you want to put large amounts of money into a woke bank like the SVB, then that's on you, not the rest of us. Or any non-woke bank for that matter.

 

[BasicHumanUnit]

lol

Nope...it's on YOU.

Keep doing nothing

 

[task0778]

But the wealthy know how to run a business and give people jobs.

Some do, some don't. And some know how to lie, cheat, and steal too. Same as everyone else, what's your point?

 

[pknopp]

Covid opened this door and without huge effort it will never be closed again

Any old excuse will do.

 

[multivita-man]

Who can stop them? Lol

This administration has already been sued (successfully) for using authority not explicitly stated in statute, and I'm wondering if someone would dare sue to stop this bailout beyond $250K on similar grounds.

I'm not necessarily arguing that it's a good idea - I think bailout now and regulate later is the better approach, but if this deal somehow does things not explicitly permitted, then there's a non-zero chance someone with an axe to grind against Silicon Valley Bros, the Biden Administration, and others takes it to court.

Whether such a legal action would succeed, I have no idea. I'd bet against it, but one never knows. I'm sure the counter-argument is that there's a history of receivership and broad treasury/fed authority and that this was already done back in 2008. Maybe that settles it, but just wondering out loud.

 

[iamwhatiseem]

 

[Rogue AI]

I think this is a horrible idea that sets a precedent for future bank bailouts that should not be backed by the US Treasury beyond the $250k limit prescribed by law. Biden's tough talk is just so much smoke up your skirts; nobody will be going to jail for this.

Why should anyone go to jail? Looks like utter incompetence and mismanagement, although nothing criminal. The only folks who appear to be violating black letter law would be the corrupt Biden administration. We all know the two tier justice system will never effect them.

 

[pknopp]

Why should anyone go to jail? Looks like utter incompetence and mismanagement, although nothing criminal. The only folks who appear to be violating black letter law would be the corrupt Biden administration. We all know the two tier justice system will never effect them.

Everyone involved in our financial systems should be in prison. It's all a scam.

 

[BasicHumanUnit]

Everyone involved in our financial systems should be in prison. It's all a scam.

That's pretty obvious.
Maybe if we're patient and just do nothing they'll all come to that very conclusion and turn themselves in for a long prison stint.

Yeah...that's the ticket!

 

[JGalt]

As long as the Urkraine filthy lucre keeps flowin'; who gives a fuck?

Joe is building it all back better.

 

[Dirk the Daring]

Nope. Caused by the Fed's ZIRP. QE4ever.

And the $8 trillion of debt by Obama and $4 trillion of debt by Trump.

$4? I thought Trump was responsible for closer to $9 trillion...?

 

[easyt65]

Woke banks can afford to take higher risks, focus more in LBGTQ / Diversity BS, and mismanage their assets because they know the govt will 100% completely bail out / cover banks 'too big to fail' ... like SVB.