Remember that scene at the beginning of It’s a Wonderful Life, where people are all desperately trying to get into the bank because if it fails before they get in, they lose their money? That’s what the FDIC prevents.

This post uses a gift link which may have a view count limit. If it runs out, there is an archived copy of the article available

      • @[email protected]
        link
        fedilink
        -11 month ago

        I know wamu was a big failure but i dont know much about how it was handled. I heard a lot about Lehman Brothers, but that was an investment bank. So that’s different.

        • @DrunkEngineer
          link
          31 month ago

          If you don’t know, then just stop commenting. You are way out of your depth here.

        • circuitfarmer
          link
          fedilink
          21 month ago

          I mean…

          A single big bank failure would probably wipe out the FDIC entirely and not everybody would get their money.

          So that’s false.

          • @[email protected]
            link
            fedilink
            -11 month ago

            I have no idea just how much was insured at Washington Mutual, and I have no idea what the position of the FDIC was at the time. I literally know nothing about that era.