2 ms·

That's quite optimistic. When IndyMac failed in 2008, the FDIC took over and payed in full the first $100,000 and %50 of the remaining amount. In 2018, it retr

That's quite optimistic. When IndyMac failed in 2008, the FDIC took over and payed in full the first $100,000 and %50 of the remaining amount. In 2018, it retroactively upped the limit to $250,000. There larger banks are all bailed out, but that won't necessarily happen with medium sized banks that fail when there isn't a systemic financial crisis. https://www.seattletimes.com/business/real-estate/extended-fdic-limits-to-cover-indymac-bank-failure/ https://www.seattletimes.com/business/real-estate/extended-f... Edit: during the savings and loan crisis, plenty of banks failed and insured accounts were only guarantee to receive the insured amount.

yieldcrv 4y ago
Yes IndyMac was a disaster, the disaster. Do you have examples of all the times insurance was pulled? I think that would be the most useful for these discussions Fdic’s brokering behavior was a reaction that’s been very successful
- oldgradstudent 4y ago
  See the dividend information for closed banks. Select a bank and see how much of the uninsured amount was paid to depositors, or select "All Banks" and sort by "Total Paid". https://closedbanks.fdic.gov/dividends/ https://closedbanks.fdic.gov/dividends/ The FDIC does a very good job, and if the bank is closed early the chances of recovery are high. During the S&L crisis there were plenty of such cases. That result in a lot of tragedies. A customer whose spouse has just died and they haven't had the chance to move money from to another account often lost half of their net worth. Take any book on the period and you'll find many examples. I'd recommend The Best Way to Rob a Bank is to Own One by William K. Black. Edit: In the dividend list, look for the latest information for any bank. It sometimes takes a decade for the last payment to be paid.

2 ms·

That's quite optimistic. When IndyMac failed in 2008, the FDIC took over and payed in full the first $100,000 and %50 of the remaining amount. In 2018, it retr

by oldgradstudent 4y ago

yieldcrv 4y ago
Yes IndyMac was a disaster, the disaster. Do you have examples of all the times insurance was pulled? I think that would be the most useful for these discussions Fdic’s brokering behavior was a reaction that’s been very successful
- oldgradstudent 4y ago
  See the dividend information for closed banks. Select a bank and see how much of the uninsured amount was paid to depositors, or select "All Banks" and sort by "Total Paid". https://closedbanks.fdic.gov/dividends/ https://closedbanks.fdic.gov/dividends/ The FDIC does a very good job, and if the bank is closed early the chances of recovery are high. During the S&L crisis there were plenty of such cases. That result in a lot of tragedies. A customer whose spouse has just died and they haven't had the chance to move money from to another account often lost half of their net worth. Take any book on the period and you'll find many examples. I'd recommend The Best Way to Rob a Bank is to Own One by William K. Black. Edit: In the dividend list, look for the latest information for any bank. It sometimes takes a decade for the last payment to be paid.