Would there be any protection in having $$$ in state banks rather than national banks?
I looked into that myself. I think Nebraska is the only state with one that might be safe.
Let me tell you about a little scheme that is used by at least one TX State Bank (Cibolo). There is a statement on the contract that you have to sign on their "signature card". It is a process called "offsetting"- basically, it is a process whereby they can steal money from your account if THEY determine that you OR THE BANK are in danger of insolvency. (I am stating this from memory, and this was a long time ago.) I trust credit unions much more than any bank...
Nope. FDIC is the resolution authority.
I have no more confidence in FDIC than I did in the FSLIC, which went broke, but I wouldn’t deposit at a bank that was not a member. Mainly because, if they aren’t a member, there’s probably something amiss.