The Federal Deposit Insurance Corp. (FDIC) has proven to be a vital form of protection, as we saw earlier this year. In March, Silicon Valley Bank failed, followed quickly by Signature Bank. The FDIC took over both banks amid growing fear of further bank failures.
Fortunately, FDIC deposit insurance kicked in for account holders at both banks. Other big regional banks continue to struggle, but industry-wide failures haven’t yet materialized. (For more about this issue, see Kiplinger.com's article Deeper Regional Banking Crisis Unlikely after Triple Failure: Kiplinger Economic Forecasts.)
