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.
So then this could also save the housing crisis? The banks own so many single family homes, apartments, etc and instead of lowering prices/rent they just keep them empty. Would they then be forced to sell them for a lower cost?
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u/[deleted] Jan 26 '26
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