U.S. officials weigh protecting all deposits at Silicon Valley Bank

I know this is pretty old by now, but the additionally money over the $250k comes from a preexisting program called the Deposit Insurance Fund (DIF) which is regularly paid into by all banks as part of their insurance premiums. There is a similar system in other types of insurance, known as Guarantee Associations. So the money is already available for a situation like this without having to raise money off taxpayers. The money was already raised over the past several years and we have already paid for it through deposit insurance premium costs that are transferred to us by our banks.


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