What Happens To Patrons' Cash When Bank Fails? Banks are failing as a result of the housing crisis, and a former chief economist with the International Monetary Fund predicted Tuesday that the global financial crisis is far from over. David Wessel, economics editor of The Wall Street Journal, talks about what happens to people with money in a bank that fails.
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What Happens To Patrons' Cash When Bank Fails?

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What Happens To Patrons' Cash When Bank Fails?

What Happens To Patrons' Cash When Bank Fails?

What Happens To Patrons' Cash When Bank Fails?

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  • <iframe src="https://www.npr.org/player/embed/93728811/93728780" width="100%" height="290" frameborder="0" scrolling="no" title="NPR embedded audio player">
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Banks are failing as a result of the housing crisis. The bust has already produced the third-largest bank failure in U.S. history, and a former chief economist with the International Monetary Fund predicted Tuesday that the global financial crisis is far from over.

In the United States, when a bank fails, deposits up to $100,000 are insured. Renee Montagne talks to David Wessel, economics editor of The Wall Street Journal, about what happens to people with money in a bank that fails.

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