DISQUS

Heidi · 1 year ago

I heard about this! For depositors that keep more than the FDIC limits in their bank accounts, I recommend asking about surety bonds (several banks offer them for high balance customers) - or open accounts at multiple banks and keep your balances under $250,000/$100,000.

RacerX · 1 year ago

Feels like we are due a wave of consolidations and closures. Time to pay the piper. We've heard about the big guys, but it is Mom and Pop Bank in Podunk, CA that could be in the real trouble.

One thing to note about FDIC, is that it can take a bit of time to get paid if the other bank doesn't get bought.

fathersez · 1 year ago

Actually from this part of the world, it looks like the sovereign funds are eagerly investing in the US banks. Perhaps bailing out may be too strong a word. (To me, I feel that a bailout may indicate an unwilling investor).

The US banks are huge and the busload of money these funds are investing does not give them a big stake or control.

A lot was said about the Saudi prince who was the biggest investor in Citibank or so. Despite this, Citibank never ever gave any impression that its largest shareholder was Saudi.

This is one great strength of the US financial sector.

Fred · 1 year ago

I've pointed this out on at least one other PF blog, but this article on the Chinese government's investments in the US is worth reading:

http://www.theatlantic.com/doc/200801/fallows-c...

Flexo · 1 year ago

Fred: Interesting article! Thanks for sharing.