I hear this a lot. I suspect some disingenuousness. Maybe that’s because I use a credit union, and it’s a good one. Over 20 years, and never a real problem.
I am wary of small amounts, fees and such, but totally at ease with larger amounts.
I’m talking about checking and savings accounts and such. Mortgage lenders are an entirely different matter. Buncha crooks, IMO.
Peace,
mangeorge
Savings and checking are at least insured by the FDIC, whereas 401k’s and IRA’s aren’t, but let’s be honest: does anyone actually think their money will still be there if we see another 1929 level market crash?
So I guess, no, I don’t. But I also wouldn’t want to save it under my mattress, so what other options do I have?
Is a crash of that magnitude even possible? Doesn’t seem likely. Conditions now are very different than in 1929.
Conditions now are more complex than they were in 1929. The checks and balances are universally enforeced in the USA ,buta suffiecient shock would cut through those as they are fiat controls and do not actually, in terms of bottom line affect the real value oif the banks assets,
In shorter words, each bank is individually protected but a collapse of all the banks (or a large majority of them) would make the real value of the deposit insurance more or less worthless. (Your $100,000 deposit will be safe, but due to the inflationary effects of the gov’t having to print money to cover a systemic crash, it now has the purchasing power of $50.)
at least that’s how I see it… IMNA Economist…
FML
Are any Dopers involved in this mess in California?
Which mess is that, Paul?
I don’t trust BIG banks to treat me fairly. I’ve been hit by way to many fees. Fees that in another industry would drive the company out of business. Who the heck dreamed up charging for each visit to a teller? 10 day hold time on a deposited check, but money is withdrawn from my account much faster then that? A transation queue list that seems to be designed to wrack up the most fees if I make a mistake?
Anyway, I trust them not to lose my money. I don’t trust them to keep me happy and to not nickel and dime me into the poor house.
Probably the virtual collapse of IndyMac bank.
That’s kinda (exactly 
) what I said in the OP, so we’re in agreement. Good.
My credit really doesn’t get much in the way of fees. They even moved funds from savings to checking once to cover a check I wrote. They called me for the okay first. My mistake. No fees for that. I keep my checking balance pretty low.
BTW; is your nickname in the same sense as “my latte tastes of vanilla”? 
I know nothing about economics, but my gut tells me that if the government had to print up all the money to replace what so many people lost, inflation would be so high that my $100,000 would be worth about $1,000.
(Assuming I had $100,000 in the bank. I don’t.)
I work for one, and don’t really trust them either.
Pfft!
I work for an oil company. Do you think I trust them?
(smiles sweetly) Some answers are better left to the imagination of the reader.
Given that much more money would have just disappeared in a cloud of smoke, it shouldn’t matter. Actually, if all banks went down the toilets, the monetary mass (is it the right term in English???) would be significantly reduced, even if the central bank was printing money like there’s no tomorrow.
Well, if the banks collapse such that you can’t get your $100,000 out, and if that $100,000 is now worthless, how exactly is sticking paper money under the matress going to help? If the currency collapses and the dollar is worthless that means paper dollars are now worthless just as much as electronic dollars.
I’m not sure you really want that. :dubious: