No. of Recommendations: 2
the Federal Deposit Insurance Corp. is considering having the U.S.'s biggest banks shoulder a larger-than-usual share of the costs from the failures of Silicon Valley Bank (OTC:SIVBQ) and Signature Bank (SBNY).
The regulator has said it plans to propose in May a special assessment for the industry to replenish the $128B deposit insurance fund that's set to take a hit from the bank failures, Bloomberg reported, citing people familiar with the matter.
The officials are seeking ways to limit the burdens on community banks by getting larger institutions to bear more of the costs, they said. That would imply that banks such as Bank of America (BAC), JPMorgan Chase (JPM), and Wells Fargo (WFC) would be most likely to pay much of the cost, Bloomberg said.
seekingalpha.com - Fdic considering pressing US big banks in paying for bank failures reportSo the big banks get to pay even for problems they didn't cause. US banks are pretty much uninvestable now. What does Buffett see in BAC to make it such a colossal position?
