3 ms·

Though perhaps the feds should expedite, for businesses with only one bank account, getting them 15%-20% of their funds quickly. This is assuming that it appea

by mlyle 4y ago

Though perhaps the feds should expedite, for businesses with only one bank account, getting them 15%-20% of their funds quickly. This is assuming that it appears very clear everyone is going to get more than 20 cents on the dollar. Many startups can survive taking the 30-40% haircut on their bank balances. Very few can survive their cash being locked up for many months (especially when there are many startups in the same boat.

Denvercoder9 4y ago
> Though perhaps the feds should expedite, for businesses with only one bank account, getting them 15%-20% of their funds quickly. The FDIC is planning to pay an advance dividend of uninsured deposits next week, per their press release: https://www.fdic.gov/news/press-releases/2023/pr23016.html https://www.fdic.gov/news/press-releases/2023/pr23016.html
gigitrix 4y ago
They have been pretty clear that they want to do this. And the balance sheet as liquidity skewed as it is is healthy, I would be extremely surprised if they get less than 95% back. These "movements" are folks asking for normal processes to be suspended for the sake of that 5% or whatever and it's going to muddy the waters vs asking for the obvious "give us some liquidity now since you can immediately secure a huge chunk of it and businesses need it"
- mlyle 4y ago
  > And the balance sheet as liquidity skewed as it is is healthy, I would be extremely surprised if they get less than 95% back. The big question is how much of the "run" has been paid, or will have to be paid at 100% because of transactions initiated before receivership. I also think 95% is a little bit optimistic from the get-go. > They have been pretty clear that they want to do this. An unspecified dividend at an unspecified time sometime next week is better than nothing, but it's still pretty toxic.

3 ms·

Though perhaps the feds should expedite, for businesses with only one bank account, getting them 15%-20% of their funds quickly. This is assuming that it appea

by mlyle 4y ago

Denvercoder9 4y ago
> Though perhaps the feds should expedite, for businesses with only one bank account, getting them 15%-20% of their funds quickly. The FDIC is planning to pay an advance dividend of uninsured deposits next week, per their press release: https://www.fdic.gov/news/press-releases/2023/pr23016.html https://www.fdic.gov/news/press-releases/2023/pr23016.html
gigitrix 4y ago
They have been pretty clear that they want to do this. And the balance sheet as liquidity skewed as it is is healthy, I would be extremely surprised if they get less than 95% back. These "movements" are folks asking for normal processes to be suspended for the sake of that 5% or whatever and it's going to muddy the waters vs asking for the obvious "give us some liquidity now since you can immediately secure a huge chunk of it and businesses need it"
- mlyle 4y ago
  > And the balance sheet as liquidity skewed as it is is healthy, I would be extremely surprised if they get less than 95% back. The big question is how much of the "run" has been paid, or will have to be paid at 100% because of transactions initiated before receivership. I also think 95% is a little bit optimistic from the get-go. > They have been pretty clear that they want to do this. An unspecified dividend at an unspecified time sometime next week is better than nothing, but it's still pretty toxic.