200k views
4 votes
When banks failed during the 1930s what happened

User Zhigalin
by
8.2k points

1 Answer

3 votes

Answer: The depositors were simply left without a penny.

Step-by-step explanation:

In all, 9,000 banks failed--taking with them $7 billion in depositors' assets. And in the 1930s there was no such thing as deposit insurance--this was a New Deal reform. When a bank failed the depositors were simply left without a penny. The life savings of millions of Americans were wiped out by the bank failures.

User Jjbskir
by
7.5k points