0
Can the government confiscate gold kept in a bank safe deposit if the bank fails?
Wiki User
∙ 13y ago
Yes. The Government can confiscate any property that belongs to the bank that failed (including buildings, gold bars and other assets) and use it to pay off the money they owe to other customers who have deposited money with the failed bank. Any bank that accepts deposits has a moral responsibility to return the money deposited with them by the customers. And if they fail to do so, the government can interfere to help out the customers
Wiki User
∙ 13y ago
Add your answer:
Earn +20 pts
Can government confiscate gold in safety deposit box?
It depends on whose safety deposit box we are talking about here. If it belongs to someone who has defaulted on payments that are legally due to another person or if it belongs to an anti-social element (like a terrorist) the government can confiscate the contents of the safety deposit box (Irrespective of whether it has gold or silver or cash) Also, the government can confiscate the safety deposit box contents of a bank that has failed/gone bankrupt in order to raise funds to pay the deposit customers who have deposited money with the bank.
What was the Federal Deposit Insurance Corporation FDIC?
the FDIC is a government agency that insures customer deposits if a bank fails, it was a last resort to restore trust in the nation's financial system.
What was the purpose of the federal deposit insurance corporation?
the FDIC is a government agency that insures customer deposits if a bank fails, it was a last resort to restore trust in the nation's financial system.
How does government sponsored deposit insurance affect your decision deposit money in a bank?
If the deposits in one bank are insured by the government sponsored deposit insurance whereas, in another bank this insurance is not available, it means that in case the first bank goes bankrupt, the government will give me my hard earned money that I put into my account with that bank, whereas it won't do anything if the other bank that does not have deposit insurance goes bankrupt and I stand to lose my hard earned money. So, I will deposit my money only in a bank that has the FDIC insurance on deposits available.
What describes the purpose of the Federal Deposit Insurance Corporation (FDIC)?
To make sure customers don't lose money if their bank fails.
Which is the government agency that covers customer deposits if a bank fails?
In the United States, the government agency that covers customer deposits if a bank fails is the Federal Deposit Insurance Corporation (FDIC). The FDIC is an independent agency created by the U.S. government to maintain stability and public confidence in the nation's financial system. The FDIC provides deposit insurance, which means that if a FDIC-insured bank fails, the agency guarantees the safety of depositors' funds up to certain limits. As of September 2021, the standard deposit insurance limit is $250,000 per depositor, per insured bank. This coverage applies to various types of deposit accounts, including savings accounts, checking accounts, certificates of deposit (CDs), and money market deposit accounts. It's important to note that not all banks are FDIC-insured. To ensure the safety of your deposits, it is advisable to verify that a bank is FDIC-insured before opening an account. The FDIC logo or the words "Member FDIC" displayed at the bank's premises or on their website indicate FDIC insurance coverage.
Is National Penn Bank protected by some kind of deposit insurance?
National Penn Bank is protected by a deposit insurance by the government. The insurance is known as FDIC.
Is a checking account reported to the government?
Yes. As per the government regulations, all bank account transactions beyond a certain amount are reported to the Government. For ex: in USA, if a deposit of over $5000 happens in an account, the bank has to intimate the Government. Similarly in India, if a deposit of over Rs. 50,000 happens in an account, the bank has to intimate the Government.
What describes the purpose of the Federal Deposit Insurance Corporation FDIC?
To make sure customers don't lose money if their bank fails.
What is the purpose of the federal deposit insurance corporations?
the FDIC is a government agency that insures customer deposits if a bank fails, it was a last resort to restore trust in the nation's financial system. The FDIC is to make sure customers don't lose money if their bank fails. This was to prevent any run on banks when National, State, or Local economies suffer downturns, which caused banks to fail before.
What did congress establish to insure bank deposits?
The Federal Deposit Insurance Corporation (FDIC).
What was the National Bank?
The bank that Thomas Hamilton wanted to have created so that the federal government can deposit money raised from taxes.
