Silicon Valley Bank depositors may get some of their uninsured money back Monday: Report

Regulators dEnjoy the Silicon Valley BankAccording to some reports, depositors will be able to access 30 to 50% of uninsured deposits Monday after the collapse.

The initial payout is for easing Customers in distress As regulators rush to go through SVB’s assets, they are hoping to find a long-term solution. If a long-term solution fails to materialize, regulators will disburse additional funds to depositors in the future. According To multiple reports

SILICON VALLEY BANCK COLLAPSE – CEO CASHED OUT MILLIONS, WHILE EMPLOYEES GET BONUSES

SVB caused panic among venture capital firms on Wednesday when it revealed that it was selling a variety of securities at a losing price. The panic spiraled into panic that led to a run against the bank that culminated in Friday’s collapse that saw it being taken over by federal regulators.

Federal Deposit Insurance Corporation policy provides that bank deposits can be insured up to $250,000. SVB’s deposits amounted to more than $250,000. This raised concerns about the ability of investors to get their money back.

FDIC has pledged to make all protected deposits available Monday through Monday. SVB had more than $175 billion in deposits by 2022 and $209 billion total assets. Bloomberg reported. The bank held bonds and Treasuries, which lost value when the Federal Reserve raised interest rates.

The tech sector has been through economic storms and undergone tremendous growth in recent months.