Local bank reassures customers, after Silicon Valley Bank failure frenzy

Failed banks in Silicon Valley, why local banks are working hard for you

YUMA, Ariz. (KYMA, KECY) - Earlier this month two banks collapsed in Silicon Valley sending the American banking industry into a frenzy. 

The recent bank collapses had many Americans worried. 

Silicon Valley Bank customers tried to withdraw $100 billion the day the bank failed.

That's according to the Federal Reserve Vice Chair for Supervision Michael Barr, who spoke before the senate banking committee Tuesday morning.

Michael Barr stated in the hearing “the picture that has emerged thus far shows SVB had inadequate risk management and internal controls that struggled to keep pace with the growth of the bank. Supervisors began delivering supervisory warnings near the end of 2021.” 

Locally, banks are reassuring customers that local banks are a top option.

Jeff Byrd, V.P. Community Relations Officer at 1st Bank Yuma says that “People like a brick and mortar location they like to look you in the eyes go into the bank and look across at you and know their money is right back there…so I think that's an advantage we have compared to the regional and national banks.”

Byrd goes on and advises local bank customers that they should “ask questions, go see your banker. It doesn’t cost you a dime to go and talk to your banker if you are having any concerns go and talk to them.”