How would they pay interest if they didn't loan your money out? Or other things they do (invest etc.) to grow money. Thus, there is risk that can differ between banks. The depositor shouldn't be shielded from this, or at least should have to pay more to insure their money in a more risky bank.
Given that this is the government's fault, I don't see why depositors should pay the price.
Prairie 0 points 1 year ago
How would they pay interest if they didn't loan your money out? Or other things they do (invest etc.) to grow money. Thus, there is risk that can differ between banks. The depositor shouldn't be shielded from this, or at least should have to pay more to insure their money in a more risky bank.
Fair point.