House Freedom Caucus Opposes Unlimited Bank Deposit Guarantees

House conservatives have voiced their opposition to any increased guarantees on bank deposits, which comes amid debate on whether expanding deposit insurance coverage is needed to stem a financial crisis marked by a drain of uninsured deposits away from smaller and regional banks.
A crisis of confidence in the banking sector was touched off earlier this month by the collapse of Silicon Valley Bank (SVB), with uninsured business depositors fleeing smaller community and regional lenders toward the biggest banks perceived as “too big to fail.”
This has led to calls for the Federal Deposit Insurance Corporation (FDIC) to temporarily waive its usual $250,000 deposit guarantee limit and provide blanket coverage to restore confidence and prevent bank runs….}