I agree on that. If there were anything to bail out be it another BSC, FNM, FRE or FDIC deposits, the deposits would have to be first in line for taxpayer funds or else you’d have a lot of people with pitchforks at the Treasury steps. As a matter of convenience, once the funds run out on FDIC or NCUA there may be a time lag before backstopping which could inconvenience those who need their money quickly. In the end I have a lot of confidence in that system but I’ll have some cash on hand in order to not get caught with my pants down if the system were to fail.
My take on Treasurydirect is sure safety unless the entire currency system fails and easy access to Ts if and when the FED/Treasury make the wrong move and kill the bond market.
