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Comment by toast0 | Hacker News Reader

If your deposits are below the insurance limit, there's no need to deal with a too big to fail bank. Better to go somewhere where interest and service are available.

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A problem is, that Small Enough To Fail banks may find it hard to offer competitive services, when they are competing on a slanting field against TBTF banks that don't have to pay the same for their safety nets.

Too big to fail means you don't have to worry about nominal insurance limits because failure is impossible.

There is because people couldn't get access to their money while they were sorting it out.

It wouldn't surprise me if FDIC can act quicker in taking over a small bank than a large one, though.

"Historically, the FDIC pays insurance within a few days after a bank closing, usually the next business day, by either 1) providing each depositor with a new account at another insured bank in an amount equal to the insured balance of their account at the failed bank, or 2) issuing a check to each depositor for the insured balance of their account at the failed bank."

https://www.fdic.gov/resources/deposit-insurance/faq/

I do my day to day banking with a too big fail bank. The service is excellent.

And I wonder if this excellent service will continue, once there are only 3 banks left.

Keep my money in an account, let me buy things with pieces of plastic, let me have pieces of paper when I want them, let me send it to other people when I want to and do none of that when I dont want it done.

If you want someone to be glad when you get home and listen to you complain about bill from accounts then get a dog.

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