‘Utter Incompetence’: European Officials
Accuse US Of Ripping Up Banking Rules
With SVB Bailout

This is the first time in years I find myself agreeing with the Europeans. We do indeed have an utterly incompetent government.

It's a very bad precedent, but then again, Dems always smash everything when tey get control of it.

It was bailed out because it was a democrat bank. Totally woke. Now totally broke and all the democrats that managed the bank cashed in their stock holdings and employees got their Christmas bonus early. I remember the Too Big To Fail excuse from years ago. Corruption is wide spread and just gets worse as time goes by.

It's not incompetence. It's suicidal ideology. And the bailout was to protect their high roller Democrat funders. They couldn't afford to let them go down.

When the nation permits a selection to occur when an election was intended, it can expect inconvenient laws to be ignored by the selectees.

Dear Europe, we here in the United States are well aware of the rampant idiocy and incompetence of our current “leaders.”

too many connected people had money in this bank and thus, had to be taken care of, of course, no politics involved at all in this theft of taxpayers money - not much!!

You know it's bad when the crazy liberal Europeans are calling out our policies as too liberal and overly generous. As usual, Democrats twisted the rules like a pretzel to bail out their friends (donors).

The bank is being bailed out because many of the depositors were big Democrat donors and the Chinese Companies.

Utter incompetence. Very true. Joey will do anything to bail out China to keep their mouths shut.

News flash...Biden is President ..anything & everything goes courtesy of support from the fake media cheerleaders. One sided media coverage, one sided JD, one sided prosecutions, one sided investigations...the dems said these banks were DNC slush funds.. If Trump ran these banks they would all be in jail!

Let's see what happens when a bank in a red state suffers the same fate.

US financial institutions are run by socialist criminals. It's all part of Democrat Operation Chaos, the destruction of civilization in preparation for totalitarian socialism. The bailouts are wealth transfers to the oligarchs. It's not incompetence. It is skilled evildoing.

The big mistake was in believing that the Biden administration had standards. Janet Yellen looks like a shrunken old grandmother who lost her knitting needles along with her hair brush.

It is much worse than incompetence. It is willful destruction of the country.

This entire SVB, Credit Suisse, First Republic, bank liquidity crisis is exactly the reason that I have not had a bank account since 1987. They are unnecessary and don't reflect the informed behavior of savers. Fractional reserve banking requires banks to maintain a regulated amount of cash reserves to satisfy the average number of withdrawls. For a long time there was no better or safer place for cash than parked in a 0.05% interest savings account. When the Fed raised the discount rate to stem inflation a lot of other alternatives like CDs and money market shares offered a much better guaranteed return. People and corporations that held cash did the smart thing and switched to these alternatives drawing down the bank reserves below the required minimum. This was a regulatory trigger and depositors saw this as a threat to the cash they held if the bank was "closed" by the Fed regulators. They panicked and caused a classic run in a perfect example of a self fulfilling prophecy. There are many financial institutions like Charles Schwab that are not governed by the FDIC but by SIPC security regulations. They create their own money market share funds that are pegged to $1 per share. They provide a bank (PNC) that handles cash into and out of the securities as well as issuing checks and ATM cards but cash is automatically swept into securities that have no reserve requirement. Unless the entire Schwab monolith is catestrophically mismanaged (its not), holders of money market funds can get their money in cash if they want without panicking and causing a run that closes the withdrawl window. Of course all that is happening is that banks that have excess reserves will lend banks that fell below the requirements enough cash to keep the regulators at bay. As a last resort, the Federal Reserve has a discount window that members can use to make their reserves whole. This usually is because none of the other banks feel it is in their interest to lend the depleted bank the money. When nobody trusts anyone else you have a liquidity crisis that locks up everything until the Fed regulators can separate the players on the field and continue the game. Bottom line, fraction reserve banks are dinosaurs and the averge person would be better served by using SIPC insured institutions like Schwab that can't be the target of a run.

Most likely explanation for the bailout in lieu of laws: we should be looking for bailout kickbacks to the Big Guy and all other usual suspects...