Treasury Secretary Yellen says not all uninsured deposits will be protected in future bank failures

WASHINGTON — Treasury Secretary Janet Yellen sought to reassure markets and lawmakers on Thursday that the federal government is committed to protecting U.S. bank deposits following the failure of Silicon Valley Bank and Signature Bank over the weekend.

“Our banking system remains sound and Americans can feel confident that their deposits will be there when they need them,” Yellen said in testimony before the Senate Finance Committee.

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Under questioning, however, Yellen admitted that not all depositors will be protected over the FDIC insurance limits of $250,000 per account as they did for customers of the two failed banks.

A Silicon Valley Bank office is seen in Tempe, Arizona, on March 14, 2023.

Rebecca Noble | AFP | Getty Images

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