new York Great relief in the tech industry. On Monday, customers should have access to their entire balance, as US authorities announced on Sunday evening. It was a surprising breakthrough. At first there was talk that customers could only access 30 to 50 percent of their credit again. In fact, deposits in the US are only insured up to a limit of $250,000.
However, Treasury Secretary Janet Yellen and other regulators wanted to prevent the markets from panicking on Monday and pulling customers away from other smaller banks on a large scale. Therefore, a decision was made to take “determined steps to strengthen public confidence in our banking system,” it said in a statement.
More bank failures
US regulators also closed another bank on Sunday. New York’s Signature Bank will not open on Monday, the statement said. All deposits are safe and customers will get their funds back in full.
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The US Federal Reserve will also provide banks with additional funds. This is to ensure that outflows of customer funds can be guaranteed at all times. This is to be done through a new program that will offer banks loans of up to one year if they post US Treasury bonds, mortgage-backed securities and other collateral, it said.
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