Re:The Big Banks
by jrockway on Thursday January 19, 2012 @02:11PM
(#3486078)
failures of large banks can be most devastating in small communities where all other banks have been subsumed
Citation needed. Isn't the FDIC's insurance enough to cover most of these people? The risk is not in the bank failing; it's in the bank succeeding. If a bank is the only bank in the market, customers have no recourse when the bank lowers their interest rates on savings accounts or adds random $5 debit card use fees. That's the risk in one bank becoming too big.
Citation needed. Isn't the FDIC's insurance enough to cover most of these people? The risk is not in the bank failing; it's in the bank succeeding. If a bank is the only bank in the market, customers have no recourse when the bank lowers their interest rates on savings accounts or adds random $5 debit card use fees. That's the risk in one bank becoming too big.