U.S. Treasury: All Silicon Valley Bank Depositors Will Have Access to All of Their Money Starting Tomorrow

The Department of the Treasury:

The following statement was released by Secretary of the Treasury Janet L. Yellen, Federal Reserve Board Chair Jerome H. Powell, and FDIC Chairman Martin J. Gruenberg:

Today we are taking decisive actions to protect the U.S. economy by strengthening public confidence in our banking system. This step will ensure that the U.S. banking system continues to perform its vital roles of protecting deposits and providing access to credit to households and businesses in a manner that promotes strong and sustainable economic growth.

After receiving a recommendation from the boards of the FDIC and the Federal Reserve, and consulting with the President, Secretary Yellen approved actions enabling the FDIC to complete its resolution of Silicon Valley Bank, Santa Clara, California, in a manner that fully protects all depositors. Depositors will have access to all of their money starting Monday, March 13. No losses associated with the resolution of Silicon Valley Bank will be borne by the taxpayer.

Taxpayers aren’t on the hook because SVB has assets greater than its deposits — they simply don’t have liquid assets to cover them. Sanity prevails. They say there are no atheists in a foxhole, but there are more of them than there are libertarians in a bank run. Thank jeebus we have a sane president.

★ Sunday, 12 March 2023