SVB was put under the Federal Deposit Insurance Corporation’s control after a bank run by panicked depositors. Two days later, the Federal Reserve, US Treasury Department, and Federal Deposit Insurance Corporation decided toat Silicon Valley Bank, as well as New York’s Signature Bank, which was seized on Sunday.
“It did mean that, ‘Hey, we have customers that need to wire us payments. We have vendors that we pay electronically through SVB,’ and all of that plumbing would have to get reworked if in fact the bank failed. And so, you know, it was more trepidation on sort of the mechanics of day-to-day running of the business and never about were we going to lose all our money,” Nieves told KSAT on Tuesday.
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Silicon Valley Bank’s failure has San Antonio tech companies scrambling for cashLocal companies are trying to get their money out of the bank to make payroll and meet payments due to suppliers and for rent.
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