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Janet Yellen Just Poured Lighter Fluid on Every Small Bank in America
Discern Report ^ | 3/17/23 | Michael Snyder

Posted on 03/17/2023 6:51:10 PM PDT by CFW

What in the world was she thinking? When a bailout was hastily arranged for uninsured depositors at Silicon Valley Bank and Signature Bank, the implication was that the same thing would be done for uninsured depositors at any other banks that failed. But now U.S. Treasury Secretary Janet Yellen is telling us that is not actually what will happen. She just admitted that depositors at a failed bank will only be protected if officials determine that a “failure to protect uninsured depositors would create systemic risk and significant economic and financial consequences”. So that means that depositors at big banks are likely to be protected and that depositors at small banks are much less likely to be protected. In other words, Janet Yellen just poured lighter fluid on every small bank in America.

Why would anyone keep more than $250,000 in a small bank at this point when there is a very real risk of losing all of the uninsured money if the bank suddenly fails?

(Excerpt) Read more at discernreport.com ...


TOPICS: Breaking News; Business/Economy; Crime/Corruption; Culture/Society; Extended News
KEYWORDS: bankfailures; banking; banks; bidendestroyseconomy; bidenvoters; china; crisis; donatefreerepublic; leftistbillionaires; leftists; redchina; wokebanks; yellen
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To: Williams

I looked at the FDIC sticker at my bank today. It wasn’t a new sticker. It said “deposits insured to AT LEAST $250,000.00”


41 posted on 03/17/2023 8:19:55 PM PDT by sopo
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To: crusty old prospector

I keep seeing the $250,000 number thrown around.


You are right, by fiddling a bit an individual/couple can have more than $250,000 insured. And, of course, they can deposit money in several banks.

But how does Ford or GM manage their money? They have to make regular payrolls far in excess of $250,000.

That said, the idea that ‘important people’/businesses deserve more protections than us mere groundlings doesn’t sit well with me.


42 posted on 03/17/2023 8:26:09 PM PDT by hanamizu
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To: CFW
It may be worse than that.

It's my understanding that in the event of a bank failure, the FDIC may take some indeterminate length of time to get things sorted, and your $250,000 is frozen till then.

As opposed to Yellen's statement on SVB:

'On Monday morning, customers were able to access all of the money in their deposit accounts so they could make payroll and pay the bills'

Would you leave your cash in a small bank where it may be frozen till the FDIC's "convenience"?

43 posted on 03/17/2023 8:34:07 PM PDT by kiryandil (China Joe and Paycheck Hunter - the Chink in America's defenses)
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To: hanamizu

I would not be surprised if it becomes commonplace for major U.S. corporations to establish their own banks to support their financial operations.


44 posted on 03/17/2023 8:37:49 PM PDT by Alberta's Child ("I've just pissed in my pants and nobody can do anything about it." -- Major Fambrough)
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To: rolling_stone
Therefore, if you set up a POD account naming your three children as beneficiaries, each child’s interest would be FDIC insured for up to $250,000, and your account could have $750,000 in potential coverage.

Wouldn't that be for $1,000,000? You plus your three children?

45 posted on 03/17/2023 8:45:23 PM PDT by Angelino97
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To: CFW

That’s the plan. Get rid of small banks.


46 posted on 03/17/2023 8:46:33 PM PDT by Georgia Girl 2 (The only purpose of a pistol is to fight your way back to the rifle you should never have dropped)
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To: kiryandil
"On Monday morning, (SVB) customers were able to access all of the money in their deposit accounts so they could make payroll and pay the bills"

Team ByeDone signaling to the numerous CHINESE INVESTORS that they'd be getting all of their money back.

47 posted on 03/17/2023 8:56:51 PM PDT by CivilWarBrewing (Get off my back for my usage of CAPS, especially you snowflake males! MAN UP!)
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To: rolling_stone

48 posted on 03/17/2023 8:59:30 PM PDT by Bobalu (Unrepentant communists, NAZI’s and totalitarians of all stripe are bowing toward Davos)
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To: sopo
"What in the world was she thinking?"

This writer has no clue the Demonic evil Yellen and her WEF minions and their aim of destroying small/community/regional banks while bolstering the LEFTARD GIANT BANKS.

Ultimate goal is ONE NATIONAL BANK and ONE DIGITAL CURRENCY and the SVB INTENTIONAL CRASH AND BURN is a genius move at triggering all of it.

Who's running the show, the same EVIL A.I. COMPUTERS owned by the WEF that STEAL ELECTIONS WORLDWIDE?

49 posted on 03/17/2023 9:02:43 PM PDT by CivilWarBrewing (Get off my back for my usage of CAPS, especially you snowflake males! MAN UP!)
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To: CFW
Just wait until they start assessing and taking out of our individual savings and checking accounts the 5-10% "fees" (if we are lucky) to cover the FDIC "insurance" costs to keep our deposits "safe".

It's only 'fair" to keep the system solvent. You know, "Diversity, Equity, Inclusion"...

50 posted on 03/17/2023 9:03:23 PM PDT by Gritty (The issue is never the issue. The issue is always the Revolution. - Saul Alinsky)
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To: kiryandil

The question of deposit insurance must focus on business accounts. Many businesses and nonprofits must keep over $250,000 in accounts to meet payroll, pay suppliers, cover utilities, etc.


51 posted on 03/17/2023 9:07:39 PM PDT by Wallace T.
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To: ClearCase_guy; CFW; Secret Agent Man

52 posted on 03/17/2023 9:10:45 PM PDT by grey_whiskers ( The opinions are solely those of the author and are subject to change without notice.)
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To: grey_whiskers

+1


53 posted on 03/17/2023 9:11:28 PM PDT by dfwgator (Endut! Hoch Hech!)
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To: hanamizu

FORD used to “own” Manufacturers Bank, now Comerica.


54 posted on 03/17/2023 9:14:52 PM PDT by Paladin2
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To: rolling_stone

https://www.investopedia.com/articles/economics/09/fdic-history.asp#:~:text=The%20FDIC%20was%20founded%20in%201933%20to%20boost%20confidence%20in,coverage%20per%20depositor%2C%20per%20account.

history fdic insurance including increases & fees


55 posted on 03/17/2023 9:16:01 PM PDT by rolling_stone (C)
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To: Wallace T.
The question of deposit insurance must focus on business accounts. Many businesses and nonprofits must keep over $250,000 in accounts to meet payroll, pay suppliers, cover utilities, etc.

Economic acumen. It's rare to encounter that on FR, whose posters are mostly focused on politics.

If we had actual representation in DC, this would be on the top of every list.

How hard is this to understand?

56 posted on 03/17/2023 9:20:53 PM PDT by kiryandil (China Joe and Paycheck Hunter - the Chink in America's defenses)
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To: CFW

Author is exactly correct. I work for a very large bank,top 10 and we’re taking in new clients at one of the fastest clips I’ve seen in my 16 years here.

We’re working 24x7 monitoring and keeping systems available, avoiding even the slightest glitch because the Fed is petrified even the slightest instability by any bank will be perceived as trouble.

We’ve even postponed every systems change that’s not infosec related until as fter April 15th.

It’s freaking insane.


57 posted on 03/17/2023 9:22:05 PM PDT by usconservative (When The Ballot Box No Longer Counts, The Ammunition Box Does. (What's In Your Ammo Box?))
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To: CFW

It is hard to find civilized words for how I feel about all this. It is a blatant attempt to drive a stake through the heart of all that is good about America.


58 posted on 03/17/2023 10:26:02 PM PDT by The Duke
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To: CFW

One would think they are actively trying to destroy this country.


59 posted on 03/18/2023 12:24:43 AM PDT by McGruff (Don't underestimate Joe's ability to f*** things up - Barack Obama)
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To: CFW

The trouble with this is those 4 major banks will soon be going to digital currency at the request(demand) of the government. If you don’t behave we shut your money down. Truckers in Canada redux


60 posted on 03/18/2023 2:56:52 AM PDT by ronnie raygun
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