William Isaac in American Banker on Lack of FDIC InterventionMay 14, 2020 - Articles
William Isaac spoke to American Banker on the subject of the Federal Deposit Insurance Corporation, which has not acted on Congress’ March approval to intervene if the COVID-19 crisis leads to liquidity strains. While Mr. Isaac acknowledges the possibility of a liquidity problem developing, Mr. Isaac is not sure that regulators will need to use all the tools that they have been given.
From the article: “‘The banking system doesn’t have a liquidity problem like it normally would in an economic crisis where banks have made a bunch of bad loans,’ said William M. Isaac, former chairman of the FDIC and co-founder of the Isaac-Milstein Group. ‘This is a crisis that started in hospitals and in nursing homes.'”
Read the full article here: https://www.americanbanker.com/news/fdic-tool-to-prevent-bank-runs-goes-unused-vs-coronavirus