Summary

Trump’s team is considering abolishing key banking regulators, including the FDIC and OCC, with plans to consolidate their functions under the Treasury Department.

Critics warn this could undermine public trust in banking, weaken deposit insurance protections, and risk another financial crisis.

The FDIC, established during the Great Depression, played a crucial role in managing the 2023 banking crisis.

Trump allies, backed by financial industry donors, are also targeting other consumer protections, reflecting sweeping deregulatory ambitions tied to Project 2025’s proposals.

Experts fear these moves could destabilize the economy.

    • The_v@lemmy.world
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      1 month ago

      The 2020’s are looking to end like the 1920’s.

      Not a recession, but a massive depression.

      • EleventhHour@lemmy.world
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        1 month ago

        Except, considering how globalized the world economy is today, it would cause a complete total economic collapse on a global scale. You thought the great depression in the 1920s was bad? You have no idea how bad it can really get.

        • BlemboTheThird@lemmy.ca
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          1 month ago

          It’s not just economic globalization, but the global ecosystem’s food chains are already starting to collapse thanks to climate change, and our factory farming systems are becoming increasingly prone to virulent diseases wiping out huge crops of both plants and animals. I wonder what happens when food prices skyrocket because half our food supply has been contaminated, and at the same time inflation explodes thanks to plain ol’ financial mismanagement

        • rayyy@lemmy.world
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          1 month ago

          a complete total economic collapse on a global scale.

          Of course it will all be peaceful, right, RIGHT?

    • Heikki@lemm.ee
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      1 month ago

      Trump (2 weeks after everything all the experts said would happen happens): Noun one knew how complicated banking is… my uncle, the MIT professor; huege brain was surprised this happened. An MIT professor didn’t think this could happen; speaking of things that happen, Batron… where is Batron? Where is, possibly, my “favorite” son? The crypto visionary. Let me tell you about the importance of crypto. Did you know this stuff is mined? Like from the earth? More valuable than water it is. Looking to back the usd by crypto and then by water. It’s free it just drops from the sky like “Bing, Bing Bing bing” might as well as be kaching!!

      • T00l_shed@lemmy.world
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        1 month ago

        I fucking hate that what you wrote could be credibly said by him. I mean except how eloquently you put it lol

    • AbsoluteChicagoDog@lemm.ee
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      1 month ago

      And do what? It’s literally not possible to live without a bank account any more. They’ve actively destroyed cash as a means of payment

      • Gigasser@lemmy.world
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        1 month ago

        What? Cash still works man, and probably will still work. They just made non-cash ways of spending money more convenient, which is why so many aren’t using cash anymore, but it won’t go anytime soon.

        Or are you talking about something else I’m not thinking of?

        • TheLowestStone@lemmy.world
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          1 month ago

          To pay my rent I would have to take my paycheck physically to a bank, cash my check, use that cash to buy multiple money orders, and then mail those money orders. Keep in mind this has to be done early enough to be delivered before the 1st and that the bank is mostly open when I’m at work.

          • bufalo1973@lemmy.ml
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            1 month ago

            Have an “empty” account where you put only the money you need to transfer and do the transfer right after that.

          • 4lan@lemmy.world
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            1 month ago

            NYC Philly Denver San Francisco NJ DC

            All these require businesses to accept cash. The only states where it was proposed and shut down was in red states; ND MS

            “85% of sellers who accept cash and use the online payment processing service Square said they never plan to stop taking cash, according to Shelle Santana, an assistant professor at Harvard Business School who has been analyzing Square transaction data.”

            Republicans don’t care about discriminating against unbanked people. Sounds like you probably live in a Republican hell hole

            • TheLowestStone@lemmy.world
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              1 month ago

              What point are you trying to make? Nothing you said addresses any of the barriers to using cash exclusively that I brought up. My landlord doesn’t live nearby so I can’t exactly just go hand him a massive wad of cash nor will my employer pay me in cash so I don’t have to get to a bank during business hours.

              I live in California by the way.

            • Saurok@lemm.ee
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              1 month ago

              You’re probably telling them something they’re already viscerally aware of.

  • dhork@lemmy.world
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    1 month ago

    They don’t care if they tank the dollar, it will make the assets in the Strategic Dogecoin Reserve that much more valuable.

  • Feathercrown@lemmy.world
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    1 month ago

    Didn’t a whole silicon valley bank just wipe out its customers savings by not being fdic insured

  • CharlesDarwin@lemmy.world
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    1 month ago

    Just where the fuck will people do their banking without FDIC?

    I saw that asshat Andreesen lying his fucking ass off on Rogan about how the poor little tweedums on the right were being “debanked” because of “free speech”, but not anyone else.

    Meanwhile, what the hell would you call something like this?

    The right has people within it that are just so insane that I really do think some would withdrawal their money from the bank, and set all their own cash on fire if they thought it would pwn teh libz.

    • MisterD@lemmy.ca
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      1 month ago

      I would just avoid ALL US banks. Canada has CDIC and our future Trumpian PM hasn’t been paid yet to kill it.

      US stores don’t care where the money comes from so that could be an option.

    • greyfox@lemmy.world
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      1 month ago

      Credit unions use the NCUA instead of FDIC. So if they don’t go after that as well there are still some options.

    • Alexstarfire@lemmy.world
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      1 month ago

      We should start this rumor. It’ll totally own me. I’ll be so subservient if they burn all their money. 😉

  • Lasherz12@lemmy.world
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    1 month ago

    I can walk into a bank and get approved to a loan with payments equal to 70% of my income. Regulations are already criminally absent.

    • Rekorse@sh.itjust.works
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      1 month ago

      Thats been true for a very long time. Before 2008 we had an approval for more than we made per month altogether.

  • subiacOSB@lemmy.ml
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    1 month ago

    Might as well take a gamble and put all my money in bitcoin if it’s not FDIC insured

  • GiddyGap@lemm.ee
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    1 month ago

    Unless Republicans choose to abolish the filibuster, they can’t do it. Takes 60 votes in the Senate.

    • chakan2@lemmy.world
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      1 month ago

      There’s no way Trump knows how to drive. This is more like terminal brain cancer. We’ve got a good month or two left, then we absolutely go insane.