3 ms·
Are uninsured deposits going to only receive 60¢ on the dollar?
by johnbellone 4y ago
Are uninsured deposits going to only receive 60¢ on the dollar?
- dmurray 4y agoThe smart money (the people buying at 60c) presumably expects them to receive quite a bit more. Those selling at 60c are generally doing so because they are desperate for the cashflow. Likely the number will go up as more cautious/less nimble entities are able to evaluate the trade and decide they can buy the claims at a higher price. I'd bet on 80%+ probability of uninsured depositors getting back 100c on the dollar, 99% they get back at least 60c on the dollar.
- kasey_junk 4y agoDuring IndyMac, widely considered the worst bank failure in the fdic regime, uninsured depositors eventually got back over 85% of their deposits. They had 50% in hand the week after the receivership.