Is Silicon Valley Bank getting a government bailout?

Experts weigh in on whether the collapse of Silicon Valley Bank and the U.S. Treasury's latest response is a bailout.

#news #siliconvalleybank #bailout #banks #abcnews

[HPSmugscraft]

"It's not a bailout because we don't call it a bailout." Just like "it's not a recession because we changed the definition of a recession".

[DarkArtsDeepDive]

It’s not a bailout, they’re protecting the little guy. You know, the guy with more than $250, 000 in a savings or checking account 😂.

[conrmckocoa]

Bailing out every penny of the uninsured deposits from the rich and power individuals and corporations is not a bailout! OK!?

[mzlis]

They are rescuing their rich donors. They change the rules because their rich clients are complaining.

[exception]

It is "free" insurance to those that didn't pay for insurance. And ask all consumers to pay for the gift later. This is surely not a bailout, as our inflation is transitory

[JukeWoo]

Essentially this resolution forces the bank's investors (equity holders and bond holders) bear the full loss, which should be shared by depositors with more than $250K in the bank. Depositors, strictly speaking, are also debt holders who lend money to the bank and should take risk. That is why FDIC works to protect small depositors. The current resolution basically rewrites the existant rules and wipes out the the risk accordingly.

[poisonpotato]

Why not make executives pay back some of the deposits with the bonuses they got just before the collapse.

[jonathanray]

Trash reporting… honestly this kind of stuff scares me

[olbtwpj]

This isn’t free market man

If a company goes bankrupt, let it fucking go bankrupt. The free market and people have decided. We need to get rid, of corporate government bailouts.

[dave]

It's a bailout because the insurance scam actually had to cough up some money?

[tT-hwyu]

Speedy process, unlike the student loan debt relief. USA.

[amithachandima]

Movie- Too big to fail. Now this will be chain effect. All the banks will be pressured.

[sailorx]

I agree that the depositors should be bailed out but hopefully whoever buys SVB pays the Fed back the money used to bail out the depositors.

[HappyHappy-sqij]

Please practice logic. Has the government put this level of effort into student loans, social security, or anything retail? Bailout for a bank vs bailout for the investors is the same thing. Not disagreeing w the move but calling out the clear propaganda.