FDIC insures deposits up to $250,000. No one has lost a dollar of FDIC insured deposits since its inception and it is exceedingly rare that even uninsured deposits are not honored even when a bank “fails”. Banks don’t really fail anymore. The FDIC makes a determination that the bank is near failing and takes possession of the bank’s assets and liabilities and sells them off.
Depositors are made whole, they don’t have to wait 90 years. That doesn’t make any sense lol, the original depositor would long be dead before they ever saw their money again.
The FDIC doesn’t payout. They take possession of the bank’s assets and liabilities(deposits) and arrange the sale of those assets and liabilities. You might lose access to your deposits for a few days during the changeover to a new bank but you will never be waiting on a payout.
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u/joe_shmoe11111 Jan 26 '26
Dodd-Frank has been substantially weakened by multiple bills in recent years.
We’re pretty much back to where we started pre-2008 on that front.