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Banking has changed. I remember running short of cash a couple of times when I was working my way through engineering school 63 years ago. I kept a checking account in my hometown (about 80 miles from Atlanta) and both times I got an appointment with my bank president to get a $150 loan. Each time he only asked if I was still an engineering major or had switched to Industrial Management. He put the money into my checking account and told me to send the repayment checks addressed to him. Each was an unsecured personal loan worth about $1500 today.

Every report I've read about the SVB failure states the problem was caused largely by small businesses withdrawals concerned about meeting their payroll. I've never been an entrepreneur, but I would also be concerned. I do not blame them. It sounds like they need more protection from bank failures.

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One thing to correct: Biden stated that depositors would be kept whole, while investors would be left with nothing.

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Good catch. This is why I need an editor. I was typing “depositors” and it came out “investors” at my fingers.

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