Saturday, November 22, 2008

The Citibank Insured/Non-Insured Deposit Picture

Citi has around $773 billion in deposits, only $100 billion are FDIC insured.

According to John Carney, most Ctit deposits are held outside the US, for tax and accounting reasons or because they are accounts owned by foreigners or ex-pats, and are therefore uninsured.

As Carney notes, there are certainly the seeds for an overseas led depositor bank run if uninsured investors get nervous.

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