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bank run is silent. The fact you don't hear about doesn't mean its not happening. Retail (regular persons) are insured since almost everyone has <250k per acco
by slt2021 4y ago
bank run is silent. The fact you don't hear about doesn't mean its not happening.
Retail (regular persons) are insured since almost everyone has <250k per account. They have no reason to change banks, that's why you don't hear anything.
Small/medium/large businesses however are changing their treasury options right now as we speak, and run from regional banks towards big systemically important banks (top4 basically)
- andy_ppp 4y agoWhy? Everyone from SVB is going to be fine, they can withdraw their funds. It is not a good situation if the US ends up with 3-4 banks, this is why the guarantee is there from government.
- slt2021 4y agoI agree that it is bad if only 4 banks are left, but companies dont want to risk with their cash if something goes wrong with their bank. There is zero downside in changing bank from small -> big4, only upside