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The public’s trust in the banking industry sharply dropped in the aftermath of the collapse of two prominent banks earlier this month and their effects on the market, according to a new poll.
A poll released Wednesday from The Associated Press and NORC Center for Public Affairs Research at the University of Chicago found only 10 percent of respondents said they have a “great deal” of confidence in banking and financial institutions. That’s down from the 22 percent who said they did in a 2020 poll. Almost 60 percent of respondents said in the recent poll that they had “only some” confidence in banking, while 30 percent said they had “hardly any.”
Silicon Valley Bank collapsed earlier this month after it did not have enough cash on hand to fulfill withdrawal requests and needed to sell assets, leading to a bank run. Signature Bank, which focuses on cryptocurrency, also crashed a few days later.
Pollsters also found bipartisan agreement that government regulation of financial institutions is inadequate. Just more than half of Republicans said so, and 63 percent of Democrats agreed.
Only 15 percent of all respondents said government regulation is too much, while 27 percent said regulation is about the right amount.
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Analysis – “According to Gallop polls, the public’s perception of banking has been trending downwards for decades, but it has sharply declined after the collapse of banks recently made headlines. Very few people have confidence in banks, but quite a lot of people think the regulations that the government imposes on banks seem to fair.” – Easton Nguyen
