Selling on eBay instead of Etsy
It's possible eBay might pick up some more sellers due to Silicon Valley Bank shut down.
Etsy stopped payments to all its sellers Friday due to having funds in SVB. Etsy won't say how much money they have in that bank that went under Friday. We won't know who else is connected to SVB until Monday. It's all the news in San Francisco where I live. Sometimes selling on another platform doesn't always work. I think I will stick with eBay.
18 comments
dbfolks166mt
·3 years agoEtsy was not the only major player impacted.
https://www.washingtonpost.com/business/2023/03/11/silicon-valley-bank-companies-affected/
This is not the first bank to fail and will not be the last. There are lots of small banks that fail every year that you never hear about it's when a major one fails that it makes the news. The last big one was probably when Lehman brothers went down in 2008. That one triggered a huge selloff in the markets and contributed heavily to the 2008 recession. It's like @ekmadonna stated there is no risk free place for your money if it is not in your hands.
The following is a bit dated but it was an analysis by J.P. Morgan in 2018, 10 years after the Lehman failure.
https://www.jpmorgan.com/insights/research/10-years-after-crisis
kringletrain
·3 years agoWARNING - I am sensing this is leaking over into eBay as well. I just discovered that though my there are funds in my account, that all of a sudden there is no schedule payouts(usually Tuesday). I called eBay Customer Diservice and what I found odd was that the first person switched me to the payout department hardly asking any questions, as if they were receiving many of these calls and knew to switch me. Once transferred they seemed to know right way what I was talking about and indicated that eBay was doing some "back office" verification of my account. Here is the thing, I have had this account for 11 years(and another account for 24 years) and have not changed banks, changed addresses, or anything that would cause a flag, and have no nefarious transactions going on. Tax ID is in order, etc. There is absolutely no reason to check on my bank account. Then they say that normally it is a 5 day review period, but ONLY because I called they would try to complete it 36 to 48 hours. Bullcrap. SVB written all over it. Putting my listings on vacation hold.
chapeau-noir
·3 years agoI think if eBay were affected by SVB reports of payments being "held" would be blossoming here, but they are not. However, these account checks are becoming more common and are now procedural, so of course you were transferred to the department who handles this.*
*I'm not sure what criteria eBay uses for these account 'checks' - they seem a bit random to me.
ekmadonna
·3 years agoEtsy didn't stop payments to ALL it's sellers, only some. Not sure why only some were effected and others were not. But the news is very disturbing to say the least. Nobody's money is safe when it is in ANYONE ELSES HANDS.
chapeau-noir
·3 years agoEtsy has been a mess since Silverman took over it. There are other successful platforms.
yuzuha
·3 years agoYeah, I stopped buying there when they started allowing mass-produced garbage. It's too bad because I have some really nice handmade jewelry that I purchased there, but these days it's impossible to sift through all of the manufactured carp to find the actual handmade stuff.
vintagecraze50
·3 years agoYes, and all those great artists making wonderful handmade stuff are competing with the junk and having to pay those mandatory ad fees. I never buy anything on there anymore either. The prices for the stuff I obtain are way too high. Compensation for the ad fees.
vintagecraze50
·3 years agoYou got that right. His mandatory ad fees are killing those sellers on there.
natoman777
·3 years agoI had not heard this...pretty disturbing
my-cottage-books-and-antiques
·3 years agoGovernment is saying all depositors will have access to their money on Monday.
12345jamesstamps
OP3 years agoFDIC Only $250,000 but not millions. We don't know how much Etsy had in the bank. Most companies have millions in the bank. Etsy is a big company.
my-cottage-books-and-antiques
·3 years ago@12345jamesstamps The latest news is the govt will cover ALL deposits....not just up to the $250,000 limit.
https://www.washingtonpost.com/us-policy/2023/03/12/silicon-valley-bank-deposits/
12345jamesstamps
OP3 years agoHopefully, what is printed is the truth. Yellen stated there is no bail out of the bank by the USA taxpayers as this afternoon by Yellen on the radio by CBS News 60 Minutes. Bank is looking for a buyer of this bank. That is the only way. I don't know why but "New Republic Bank" also had money in this bank. Should be interesting tomorrow when the stock market opens tomorrow.
tealt
·3 years agoYep.
The Biden administration has announced it will bail out Silicon Valley Bank and a smaller New York bank.
All the venture capitalists and elites in this valley are breathing a sigh of relief.
Etsy and other firms who had their deposits at SVB will have their money available tomorrow. Small non-profitable start-ups can continue operations, which is a good thing for their founders, venture capitalist backers, and employees.
Exactly who will pay for this unusual action is subject to a certain amount of conjecture, but it would not surprise me to learn that we ordinary taxpayers will in time, eventually, foot the bill.
Now the local news headlines can go back to our strange weather.
pburn
·3 years ago@tealt
Would you mind posting a link to that info? I've read that the depositors will be made whole, but I haven't seen any announcement that there will be a bail out for the bank. I'd like to read about that. Thanks!
valueaddedresource
·3 years ago@pburn @tealt - here's the statement from the Federal Reserve.
https://www.federalreserve.gov/newsevents/pressreleases/monetary20230312b.htm
Today we are taking decisive actions to protect the U.S. economy by strengthening public confidence in our banking system. This step will ensure that the U.S. banking system continues to perform its vital roles of protecting deposits and providing access to credit to households and businesses in a manner that promotes strong and sustainable economic growth.
After receiving a recommendation from the boards of the FDIC and the Federal Reserve, and consulting with the President, Secretary Yellen approved actions enabling the FDIC to complete its resolution of Silicon Valley Bank, Santa Clara, California, in a manner that fully protects all depositors. Depositors will have access to all of their money starting Monday, March 13. No losses associated with the resolution of Silicon Valley Bank will be borne by the taxpayer.
We are also announcing a similar systemic risk exception for Signature Bank, New York, New York, which was closed today by its state chartering authority. All depositors of this institution will be made whole. As with the resolution of Silicon Valley Bank, no losses will be borne by the taxpayer.
Shareholders and certain unsecured debtholders will not be protected. Senior management has also been removed. Any losses to the Deposit Insurance Fund to support uninsured depositors will be recovered by a special assessment on banks, as required by law.
Finally, the Federal Reserve Board on Sunday announced it will make available additional funding to eligible depository institutions to help assure banks have the ability to meet the needs of all their depositors.
The U.S. banking system remains resilient and on a solid foundation, in large part due to reforms that were made after the financial crisis that ensured better safeguards for the banking industry. Those reforms combined with today's actions demonstrate our commitment to take the necessary steps to ensure that depositors' savings remain safe.
pburn
·3 years ago@valueaddedresource
Thanks for that article, but, again, that's a statement confirming the intent to make depositors whole--not "bailing out" the bank itself, as was suggested in another post. Big difference.
tealt
·3 years ago@pburn
I too had to read that the taxpayers will not be on the hook for this “exceptionâ€, but not everywhere I read agrees with that . The federal government is going to be spending billions and billions to make depositors whole, and where does the federal government money come from? Banks, paying into this special fund, are taking a hit. Do they merely take the loss of this money onto their balance sheets? Do they pass such costs on to their customers?
What I did not read in that rainbows and unicorns statement from the White House was the eventual fate of the 8000+ bank employees. They have been offered 45 days of temporary employment, but after that? Now that SVB big financial hole has been plugged by the federal government, does SVB go back in business or what?
Since shareholders and investors in the bank itself are not being bailed out, one would hope that not too many pension funds and charitable organizations were invested in SVB stock.