top | item 35114491 (no title) garry | 3 years ago $250,000 will be available initially, which is doable for payroll of up to 15 to 25 people for one month, generally if you're a startup.FDIC website indicates remediation time in the months-to-years. This is the concern. discuss order hn newest oldgradstudent|3 years ago You ignore the next sentence:> The FDIC will pay uninsured depositors an advance dividend within the next week.This will likely be a substantial fraction of the uninsured deposits. Take a look at the FDIC website.https://closedbanks.fdic.gov/dividends/Pick a bank, say, "IRWIN UNION BANK & TRUST CO". The first dividend was almost 47% of the uninsured amount, and anoth 25% or so over a decade.The failure of SVB as reported is not nearly as bad. cactusplant7374|3 years ago Why did YC encourage startups to put their eggs in one basket? cmurf|3 years ago Or not encourage them to have multiple bank accounts so that deposits are fully FDIC insured?In effect, it encourages concentrating deposits in a single bank. Benefits the bank, does not benefit the depositor. load replies (1)
oldgradstudent|3 years ago You ignore the next sentence:> The FDIC will pay uninsured depositors an advance dividend within the next week.This will likely be a substantial fraction of the uninsured deposits. Take a look at the FDIC website.https://closedbanks.fdic.gov/dividends/Pick a bank, say, "IRWIN UNION BANK & TRUST CO". The first dividend was almost 47% of the uninsured amount, and anoth 25% or so over a decade.The failure of SVB as reported is not nearly as bad.
cactusplant7374|3 years ago Why did YC encourage startups to put their eggs in one basket? cmurf|3 years ago Or not encourage them to have multiple bank accounts so that deposits are fully FDIC insured?In effect, it encourages concentrating deposits in a single bank. Benefits the bank, does not benefit the depositor. load replies (1)
cmurf|3 years ago Or not encourage them to have multiple bank accounts so that deposits are fully FDIC insured?In effect, it encourages concentrating deposits in a single bank. Benefits the bank, does not benefit the depositor. load replies (1)
oldgradstudent|3 years ago
> The FDIC will pay uninsured depositors an advance dividend within the next week.
This will likely be a substantial fraction of the uninsured deposits. Take a look at the FDIC website.
https://closedbanks.fdic.gov/dividends/
Pick a bank, say, "IRWIN UNION BANK & TRUST CO". The first dividend was almost 47% of the uninsured amount, and anoth 25% or so over a decade.
The failure of SVB as reported is not nearly as bad.
cactusplant7374|3 years ago
cmurf|3 years ago
In effect, it encourages concentrating deposits in a single bank. Benefits the bank, does not benefit the depositor.