The Briefing Room
General Category => National/Breaking News => Topic started by: Timber Rattler on March 13, 2023, 12:13:31 am
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https://home.treasury.gov/news/press-releases/jy1337
WASHINGTON, DC -- The following statement was released by Secretary of the Treasury Janet L. Yellen, Federal Reserve Board Chair Jerome H. Powell, and FDIC Chairman Martin J. Gruenberg:
Today we are taking decisive actions to protect the U.S. economy by strengthening public confidence in our banking system. This step will ensure that the U.S. banking system continues to perform its vital roles of protecting deposits and providing access to credit to households and businesses in a manner that promotes strong and sustainable economic growth.
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, California, 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.
We are also announcing a similar systemic risk exception for Signature Bank, New York, New York, which was closed today by its state chartering authority. All depositors of this institution will be made whole. As with the resolution of Silicon Valley Bank, no losses will be borne by the taxpayer.
Shareholders and certain unsecured debtholders will not be protected. Senior management has also been removed. Any losses to the Deposit Insurance Fund to support uninsured depositors will be recovered by a special assessment on banks, as required by law.
Finally, the Federal Reserve Board on Sunday announced it will make available additional funding to eligible depository institutions to help assure banks have the ability to meet the needs of all their depositors.
The U.S. banking system remains resilient and on a solid foundation, in large part due to reforms that were made after the financial crisis that ensured better safeguards for the banking industry. Those reforms combined with today’s actions demonstrate our commitment to take the necessary steps to ensure that depositors’ savings remain safe.
I don't believe any of Yellen's assurances. We're doomed.
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No losses associated with the resolution of Silicon Valley Bank will be borne by the taxpayer.
Really...then where is the money coming from....HMMMMMMMMmm? :pondering:
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Really...then where is the money coming from....HMMMMMMMMmm? :pondering:
From you and ME....ugghhhhh!!!!
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This is about the only card they got, even if this is for their woke wealthy cronies.
We crossed the banking system financial insolvency Rubicon a long long time ago.
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I don't believe any of Yellen's assurances. We're doomed.
Of course not. She's about as truthful as ol' demented Joe.
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https://home.treasury.gov/news/press-releases/jy1337
I don't believe any of Yellen's assurances. We're doomed.
My brother's company had 8 figures in deposits there, and senior management - which includes him - has been trying to all weekend to figure out what to do about payroll. He'll learn very quickly tomorrow whether or not they've got access to those funds as Yellen said would be the case.
To the extent anyone loses, it's supposedly going to be debtholders rather than depositors.
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