Hi Caroline Gerardo 

  First, I am sad to hear of your loss.  It's easy to see these stories on the News, but until it hits us personally, we have no idea what it really means.

  To your question:  NO.  The banks should not be "bailed out".  The people who parked their money in that bank should have been more diligent.

   If I understand it, SVB invested its depositors' money into U.S Treasury notes and Government bonds.   Now that interest rates are back up, those notes have lost tremendous value.  And of course, the ESG and the Equity Hire Managers  were more interested in social causes than getting a return on their capital.

   Caroline, my late grandparents told me about the Great Depression.  How so many people lost everything, because they trusted the Banks and the U.S. Government.  They taught me to put my money into tangible assets that I can hold and possess.  See my slightly ambiguous and somewhat rhetorical question on this page earlier today, "What is a better investment, Real Estate or Banks". 

    IMHO, this is only the beginning of a major collapse. The Government has given America's money to Ukraine, to illegal immigrants, and other expenditures that have no possible ROI.  We are in for a rough ride.

I don't think over the insured amount federal funds should bail banks out.  However if funds exist that protect depositors paid by other banks I'm ALL for depositors being protected.  As to the insiders that sold stock just before the tank.... take their money and throw them under the jail.

We are not bailing the banks out.

They are being bailed out by a fund that is paid into by the other banks.  No government money, nor taxpayer money is being spent.

NO to bailouts!

I'm sorry that you lost your fortune but, that has nothing to do with my answer.

These banks are BUSINESSES, run to the drummer of the CEO and the Board. Their decisions impact their wins & losses. It is not up to you or me to bail them out. 

If that sounds callus, I am sorry but, if my business fails, I do not expect ANYONE to bail me out. Instead, I would work my fingers to the bone to get MYSELF out of the hole. We are responsible for our own actions - in life and in business.

Nope. Not this time.

No.  No more taxpayer funded bailouts of organizations that were not responsible with their client's money.

As I understand it, there is not enough insurance to cover it all. 

Regardless of what "should" be done, it will be done anyway. 

Add this to all the other evil, corruption, lies, and deception, that is taking place and perhaps we can "throw a party"! 

We need regulations that will prevent them from failing.

No I do not think banks should be bailed out. I think they should pay attention to where they are investing money at all times. I have a lot more thoughts but that's it for now!

I have not thought it through Caroline Gerardo but my gut reaction is NO. That being said if either of the financial institutions I bank with lost all my money I'd like someone to restore it.

Absolutely NOT! I have a lot more to say but I'll leave it at this.

My answer is no, the government has its nose already into too much of our businesses and everyday lives and they only hinder good opportunities!

I heard today that payroll protection under Covid relief is still active for many more months and these employees could find relief there.  

My understanding is that the FDIC, not the government, will be covering losses.  I'm not sure I agree with losses over $250,000, but money for most is secured.

In this instance the "political solution" was to do a bailout. No sure it was the way to go but it is what it is. We need to change the rules, not make snap decisions that look good on the surface but like an iceberg has hidden mass. We'll see

So sorry to hear this, investments can be lucrative, of course high gains generally come with high risk.  Best for all of us to keep our eggs in more than one basket.

As far as depositers, the FDIC is designed to cover their losses, as long as they spread them around and keep below the limit in each institution, again warning us to not keep all of our eggs in one basket.

It comes down to who you know and can count on when going all out on a venture. Bank people appoint board of directors, pay them, and those connections come through in a pinch. Doesn't matter what the average citizen thinks or does. The powerful get their way.

No... but we should fire all the management in many of those banks and the boards of directors as well as claw back all the money they've "stolen."

Banks no, investors will get reimbursed by FDIC. 

What I think is a shame is that we will hear that the management will still receive their bonuses.

with tax dollars, no.

No.

I do not believe we should this time

So sorry to hear about your losses. Every situation is different. It goes to show that we need to be more mindful of what is going on. Hopefully other banks will get their ducks in a row and not follow in the fate of this bank.

Sorry to hear that Caroline - that is a bummer.  I'm sure it's on the minds of some folks these days.  My Father's parents lost their entire farming operation back in the depression days. They never really recovered for that. Thank God my Dad was able to help them as a young man just out of the Army from WWII.  Things got better from there for them.

Bailing out the richest zip code in the United States.  Let me think about that.  No.  I'm with Fred Griffin Florida Real Estate on this.  They made bad long term  treasury bets and lost.  My Dad taught us to never rely on the government.  Never. 

Easy answer. NO

Beware of the bail-in

What Is a Bail-in?

Nope!  I enjoy capitalism, but to have true capitalism, bail outs don't have a place.  If it all burns down, it means the system was built with materials that are too flammable.

I believe we should not bail them out.   This will be affecting so many think because of bad management 

Deposits should all be guaranteed and banks should not be allowed to gamble with the funds given to them to take care of.  

SVB was not a normal bank. It invested heavily in Treasury securities without hedging to cover the inherent risk. Bad management. With higher risk comes higher returns...until you get caught with your pants down as in this case. It lent to above risk clients...and invested in high risk clients. Now they get to pay the piper. 

Many of their depositors were aware of the bank's business model and banked with SVB due to loose credit and lending standards for a special industry...high tech and venture capitalists.

The failure of the bank should be no surprise.