From California to to the other side of the Atlantic Ocean, companies and people are scrambling to figure out how to manage their finances after their bank suddenly shut down Friday.
By STAN CHOE and BOBBY CAINA CALVAN
U.S. customers with less than $250,000 in the bank can count on insurance provided by the Federal Deposit Insurance Corp. Regulators are trying to find a buyer for the bank in hopes customers with more than that can be made whole. “This is a huge disappointment,” said winemaker Jasmine Hirsch, the general manager of Hirsch Vineyards in California’s Sonoma County.
“It’s been a brutal day. We literally have every single penny in Silicon Valley Bank,” Kalb said Friday, pegging the deposit amount that’s now tied up at millions of dollars.
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Silicon Valley Bank closed by California regulatorSilicon Valley Bank has closed by order of the California Department of Financial Protection and Innovation
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Silicon Valley Bank shut down by California regulatorUninsured depositors will receive an advance dividend within the next week and a receivership certificate for the remaining amount of their uninsured funds, according to the release.
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California regulator takes over Silicon Valley BankThe California Department of Financial Protection and Innovation announced Friday that it “has taken possession of Silicon Valley Bank citing inadequate liquidity and insolvency.”
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