Silicon Valley Bank Failure Prompts Likes For Other Big US Banks Including JP Morgan, Citi

Several customers have applied to shift their accounts to large U.S. banks such as JPMorgan Chase & Co JPM and Citigroup Inc C from smaller lenders after the collapse of Silicon Valley Bank SIVB.
JPMorgan Chase, Citigroup, Bank of America BAC, and other large financial institutions are trying to quickly accommodate the surge in requests, taking extra steps to speed up the regular sign-up or “onboarding” process, the Financial Times reported citing several people familiar with the matter.
The Federal Deposit Insurance Corporation stepped in to protect deposits of up to $250,000, but deposits over that amount are at risk.
JPMorgan has shortened the waiting time for opening an account and is accelerating the speed at which new corporate customers can access funds, according to the report.
Several banks have reassigned employees to jobs connected to account openings.
The report also notes that JPMorgan has told bankers there should be no attempts to poach clients from smaller rivals.
Large asset managers also reported an influx of cash being pulled from lenders following an anxious few days for bank depositors.
Photo via Wikimedia Commons

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