Are local banks in the US (think local/community or state specific) insulated or protected from federal government overreach?
I would think in theory a bank that doesn’t do business across state lines would not be exposed to the same government reach under the interstate commerce clause, however, since mostly every bank operates with FDIC protection and interacts with the Fed I am not sure that would still be applicable.
Does anyone have any color on this?
Basically trying to protect myself to the greatest extent possible (without keeping all my cash under the mattress) from the federal government shutting down individuals’ bank accounts like Canada did a while back or some black swan financial event shutting down access.
Appreciate any insight.
original posted by ACogd to r/personalfinance on Mon, 01 Apr 2024 15:56:36 GMT.