Tag: Signature Bank

New Bank Fees to Cover Bailouts Could Be Passed on to Customers, Experts Say

Admin

The Federal Deposit Insurance Corporation (FDIC) announced a proposal on Thursday to charge new fees to replenish funds spent bailing out Silicon Valley Bank (SVB) and Signature Bank depositors in March that will cost Americans, according to experts who spoke to the Daily Caller News Foundation.

Under the proposal announced at the FDIC Board of Directors Meeting, the regulator would charge special assessment fees to an estimated 113 banks, mostly those with over $50 billion in assets and none under $5 billion in assets. The banks will pass the costs on to their customers, according to economists who spoke to the DCNF.

Read the full story

FDIC to Slap Banks with New Fees to Cover Bailout Losses: Report

Admin

The Federal Deposit Insurance Corporation (FDIC) plans to release a proposal to replenish funds spent bailing out depositors of Silicon Valley Bank (SVB) and Signature Bank in March by charging fees to banks with over $10 billion in assets, according to people familiar with the matter who spoke to Bloomberg.

The smallest lenders with under $10 billion in assets would be exempt from these fees, according to the sources who spoke to Bloomberg. There were over 4,000 banks beneath that threshold at the end of 2022; however, there were 145 banks between $10 billion and $250 billion in assets, according to FDIC data.

Read the full story

Commentary: Another California Bank Fails After $100 Billion Run on Deposits and Rising Interest Rates Forces First Republic into FDIC Receivership

Admin

The Federal Deposit Insurance Corporation (FDIC) and the California Department of Financial Protection and Innovation put the $229.1 billion California-based First Republic Bank into receivership today on May 1, while the FDIC also entered into a “purchase and assumption agreement” with JP Morgan-Chase Bank for the nation’s largest bank to assume First Republic’s assets as well as its $103.9 billion of deposits.

Another one bites the dust.

Read the full story

Federal Regulators Seize, Sell Major Bank to JPMorgan Chase

Admin

Federal regulators took ownership of the First Republic Bank and sold it to JPMorgan Chase on Monday, marking the second-largest bank failure in U.S. history.

First Republic was the 14th largest commercial bank in the country, according to the Federal Reserve Board, and the third bank to fail in the past several months following the collapse of Silicon Valley Bank and Signature Bank. Banking giant JPMorgan Chase acquired the vast majority of the failed lender’s assets and all of its deposits from the Federal Deposit Insurance Corporation (FDIC), according to a JPMorgan Chase press release.

Read the full story

Florida Rep. Kat Cammack Says There Should Never Be Another Bank Bailout

Just the News

Florida GOP Rep. Kat Cammack says that there should not be a bank bailout after the recent bank failures because ultimately, the price will fall on the American people. 

“There should absolutely never be a bank bailout ever again,” Cammack said on the “John Solomon Reports” podcast. “We saw the failures of that years ago and now we’re staring down the barrel of another meltdown and contagion because there’s poor management.”

Read the full story

Janet Yellen Says More Bank Bailouts Could Be on the Horizon

Admin

Treasury Secretary Janet Yellen said in remarks Tuesday that regulators may ensure all deposits at more banks following the Silicon Valley Bank (SVB) and Signature Bank depositor bailouts.

Yellen said the bailouts were essential to safeguard the U.S. banking system in prepared remarks at the American Bankers Association Tuesday, referencing the Federal Reserve’s actions in insuring the deposits of SVB’s customers.

Read the full story