Is your bank safe?
Does your bank run based on ideology like Silicon Valley Bank?
(See our article 7 Shocking Reasons for the 2023 Banking Panic Blow-Up: How Politics, Radical Ideology, and Government Policy Are Destroying Banks).
Could your bank freeze your funds?
A new study shows an estimated $2 trillion loss in the market value of 186 banks at risk nationwide.
And many smaller and regional banks have found a huge outflow of depositors fleeing and moving to larger banks.
That makes these smaller banks vulnerable to collapse, like SVB and Signature Bank.
Below we have some actionable ideas, if you’re nervous about your bank, or not sure if they are an ATM for radical, pro-socialist groups and candidates.
Here are 4 things you should know…
1. The danger
Every bank should be suspect… and transparent.
And if you’re a depositor with $250,000 or more you could see the same problems as SVB. Depositors could have problems withdrawing money if they have a cash flow problem.
Business and personal accounts with more than $250,000 beware… [Read Below]
It’s unclear if the government will try to protect everyone… It’s clear they cannot.
2. What’s happening
Your bank could be holding most of their assets in government bonds and mortgage-backed securities that are highly sensitive to the interest rate hikes.
For example, SVB put most of its money in these investments. When interest rates went up, the value of the investments went down. And when customers started making large withdrawals, the bank had to sell those investments at a loss to cover customer withdrawals.
The bank lost $2 billion within a matter of days.
People and businesses could not withdraw their money.
Imagine if that happened to you.
3. The government bailout
President Biden was quick to hold a press conference and promise that the government would back the losses of all depositors—Even the customers that were not covered under FDIC insurance (all deposits over $250,000).
Biden claimed that no taxpayer money would be involved, but that is not true… in the end, like all government bailouts in the past, we have all had to pay higher fees, higher taxes, or inflation.
The Government provided the money by increasing the money supply, further fueling inflation.
Over $20 billion government/FDIC funds went to SVB alone.
4. What to do if you have less than $250,000 in your bank account…
If you have less than $250,000 in your bank, like most people, you won’t have a problem even if the bank temporarily suspends your ability to withdraw funds.
It will be covered by FDIC insurance.
If you have more than $250,000, I recommend that you place your money in higher paying yields such as I-Bonds or short-term Treasury Bonds.
Also, you can put your funds in different banks in order to spread out your risk and to make sure you’re fully insured by FDIC.
As a business owner I have spread my company deposits, which are often over $250,000, into various banks. But also, into Charles Schwab interest bearing accounts so that I’m always covered by FDIC.
5. Banks too focused on radical ideology and politics than banking
SVB and these other small banks are affected by left-wing political policies that created the problem through their commitment to Environmental, Social, Governance (ESG), and Diversity, Equity, and Inclusion (DEI), and the radical green agenda [see article How the Silicon Valley Bank Collapse Occurred So Fast].
For example, SVB didn’t have a compliance officer but had a VP of diversity.
That should tell you everything you need to know.
Like many banks, SVB was driven by ideology not common sense.
For example, they were large donors to the Democrat party and political groups. They donated over $73 million to Black Lives Matter (BLM) and other social causes, like climate activist groups.
They also made reckless, risky loans to green tech startups.
6. This is the time to move your money: our list of good and bad banks…
The ideologically driven banks are mixed in with the poorly run banks, and the weakness of the regional banks.
It’s very difficult, and in fact, impossible to fully understand the situation of every bank as we should.
But one thing is clear, the banks that are ideologically driven are being discovered.
We originally came up with a list of banks that were more driven by ideology than on banking, and your money was being used to fund radical groups, causes and candidates [See Warning: The Top 29 Most Politicized Banks Promoting Radical Politics, Not Best Banking Practices (And 15 Banks That Don’t)].
We’ve expanded this list for good and bad banks.
The bad banks are ones I would immediately remove my funds from. For example, at one point I had my company funds and personal money in Bank of America and Wells Fargo. This is no longer the case. I recommend you do the same.
As for the good banks, it’s very difficult to know a good bank other than by its donations and company policies. Our list contains names of banks that do not follow a radical, ideological, politicized agenda, or support radical candidates or groups.
On the other hand, that doesn’t mean that there isn’t corruption or incompetence within middle management or even upper management, who make tactical errors in their investments, that have repercussions.
But it does give you an indication that they are not following the destructive, ideologically biased path that SVB and others have fallen prey to, which helped bring them down.
There are many good and bad banks, is yours on the list?
Here is our list of Ideologically driven banks you should not bank with:
- Bank of America
- Wells Fargo
- Citibank/CitiGroup
- JP Morgan/Chase
- Goldman Sachs
- Morgan Stanley
- Sunrise
- Beneficial State Bank
- Amalgamated Bank
- Berkshire bank
- BMO Harris
- Ally Financial
- Southern Bancorp
- Intrafi Network
- First Green Bank
- Deutsch Bank
- Moody’s
- Eastern Bank
- Fifth-Third bank
- First Republic Bank
- Royal Bank of Canada
- Scotiabank
- TD Bank
- Bancorp
- Trillium Asset Management
- Truist
- US Bank
- Loans
- Western Alliance
- Comercia
- VMB Financial
- PNC Bank
Here is our List of banks that do not follow radical, pro-socialist policies.
- Pinnacle Financial Partners
- Woodforest National Bank
- First Premiere Bank
- 1st Financial Bank USA
- Regions Financial
- Citizens Bank
- Trust Financial Services
- Arvest Bank
- Ally Bank
- Huntington Bank Group
- AdelFi Credit Union
- Farmers Bank
- Hilltop National Bank
- Plains Capital Bank
If you know any banks that should be on our list, please email me at [email protected] or comment below and let me know.
Read another article here: Top 20 Politicized Banks: 14 Better Ones