FDIC Takes over Silicon Valley Bank

Re:FDIC Takes over Silicon Valley Bank by navane on Friday March 10, 2023 @01:43PM (#35098978)

with interest being zero as it was the past couple of years, can the bank not just sit on that money and literally do nothing? What operational expenses do they have?

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Re:FDIC Takes over Silicon Valley Bank by ronjobber on Friday March 10, 2023 @02:01PM (#35099274)

Sure, if depositors said "ok we'll let the bank ride this out." But that's not what happened.

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Re:FDIC Takes over Silicon Valley Bank by disgruntledphd2 on Friday March 10, 2023 @05:00PM (#35101767)

Yeah, and remember that this particular bank has a very, very well-connected set of customers (in the graph theory sense). So once the run starts, everyone tries to get in, causing the actual run.

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Re:FDIC Takes over Silicon Valley Bank by ptaffs on Friday March 10, 2023 @02:05PM (#35099333)

rent and maintenance if they have branch property, salaries and benefits for staff at least. Banks have a lot of regulation and audit requirements which take work.

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Re:FDIC Takes over Silicon Valley Bank by tropicaljacket on Friday March 10, 2023 @03:27PM (#35100462)

but that doesn't increase with more deposits, right?

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Re:FDIC Takes over Silicon Valley Bank by acomar on Friday March 10, 2023 @06:46PM (#35102988)

if profits don't go up, shareholders get mad and the stock price tumbles. this is just capitalism.

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