According to a Gallup survey, recent events may erode confidence in the U.S. financial system. Nearly half of the 1,013 adults polled said they were “very worried” (19%) or “moderately worried” (29%) about the safety of the money they had tucked away in a bank or other financial institution, Gallup said. About 20% said they weren’t worried at all. Almost a third said they were “not too worried.” Gallup found similar results shortly after the collapse of Lehman Brothers in September 2008. Despite this, Gallup does not conduct this survey regularly, so tracking how attitudes change over time is difficult. However, a December 2008 reading found that sentiment had already improved from those lowest levels as steps were taken to ease the impact of the financial crisis.
Signature Bank and Silicon Valley Bank had already failed in the survey conducted from April 3-25. Regulators took possession of First Republic and sold its assets to JPMorgan Chase. A number of regional bank stocks sank, with Los Angeles-based PacWest cratering over 46%. The Federal Deposit Insurance Corp. — created in 1933 during the Great Depression — backs deposits up to $250,000 per depositor. For those with accounts above the insured limit, several steps can be taken to protect more than $250,000. Gallup found those who identify as Republican or independent, as well as those with middle- and lower-incomes, were more likely to worry about their money. The same applied to Americans without college degrees.