Posted on 03/14/2023 5:05:47 AM PDT by MtnClimber
In a brief statement Monday addressing the stunning collapse of Silicon Valley Bank and Signature Bank, Joe Biden sought to assure worried Americans that the U.S. banking system is in good hands.
“Thanks to the quick action of my administration over the last few days, Americans can have confidence that the banking system is safe,” Biden said. “Your deposits will be there when you need them.” As he was speaking, the stocks of four other banks—First Republic Bank, PacWest, Regions and Western Alliance Bancorp—were halted for volatility.
Biden faulted “the previous administration” for rolling back regulations that he claimed would prevented the current banking crisis, and pledged to overhaul the system to “make it less likely this kind of bank failure would happen again and to protect American jobs and small businesses.” Biden didn’t bring up how the massive inflation of the past two years forced the fed to raise interests rates to an unsustainable level.
Biden told customers of SVB and SB that their money was safe, and insisted that the failing banks would not get taxpayer-funded bailouts.
“No losses will be borne by the taxpayers,” he said. “Instead, the money will come from the fees that banks pay into the Deposit Insurance Fund.”
Biden noted that investors in the failed banks’ securities will not have the same guarantee.
“Investors in the banks will not be protected,” Biden said. “They knowingly took a risk and when the risk didn’t pay off, the investors lose their money. That’s how capitalism works.”
Bank regulators announced on Sunday that the Federal Deposit Insurance Corporation and Federal Reserve would somehow fully cover deposits at both failed banks, relying on Wall Street and large financial institutions to foot the bill. Signature Bank in New York, a popular funding source for cryptocurrency companies, was closed on Sunday over similar systemic failures as SVB.
“The FDIC on Friday took control of SVB’s assets and over the weekend Signature’s,” Biden said. “All customers who had deposits in these banks can rest assured they will be protected and they’ll have access to the money as of today.”
Biden also took aim at the executives of the failing banks, declaring that those who mismanaged funds “will be fired.”
“We will do whatever is needed,” Biden added.
Biden boasted that his administration has presided over a “historic economic recovery,” creating over 12 million jobs and keeping the unemployment rate low.
He quickly left the podium following his brief remarks and refused to take any of the shouted questions from reporters.
Of course Joe blames this on Trump.
uh huh, The Trump thing doesn’t work anymore Joey. You have been doing all the bumbling for well over two years now. You got rid of Trump’s policies and you just happened to miss one?
So which is it Slow Joe,... is it Trumps fault they are so bad? Or your fault they are so good?
Bidens Billionaire Bailout, what a frikkin joke. FU Brandon, NOBODY at this bank deserves anything but a LOSS for their stupidity and greed.,
This is truly one of the most delusional people on the planet.
Sometimes, I honestly can't decide whether Dementia Joe is just incredibly stupid, or just the biggest liar on the face of the earth.
I guess it's possible, and actually quite likely, that he is both in equal measure.
I’m sure Hunter could just sell a few paintings and bail out the whole banking system.
Oh crap …. If pedojoe says it’s safe ….. Katie BAR THE DOOR
Here’s a crazy idea: how about the cost is borne by the incompetent morons who mismanaged their customer’s funds? I’m sure at least some of the bank’s employees have some very nice properties and other assets that could be liquidated.
Just as his urge to "tax the corporations" will cause an upward shove in consumer prices if and when it's enacted.
I wonder if he even realizes what he did? He set a new precedent by making SVB depositors 100% whole, overriding the 250k insurance limit.
He said the funds would come from the FDIC insurance pool, which would normally cover just 250k per depositor.
Let the good times roll!
The problem was and is banks invested long term in absurdly low interest income bonds.
Only payroll debits should be covered on over limit accounts.
Your money is as secure as the USA’s border!
The efforts to shore up the banking system will be as effective as the Covid “vaccine”.
Hunter is honest and trustworthy.
Men are women!
Yes but with near zero interest rates for the past decade and inflation on the horizon even Stevie Wonder could have seen this coming. And he’s not a banking expert.
FDIC fees are probably absurdly low.
Chauncey Gardner always wants to take credit.
In fairness, only really rich elite democrat donors and the Chinese are getting bailed out by the USA taxpayer.
It’s not like the exception will apply to just everyone!
Chinese depositors >$250K at SVB?
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