Large Bank Examination Workshop February 2026

It’s a Wonderful Life

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Movie: It’s a Wonderful Life • Systemic panic (1929) • Might have been a justification for the bank run  George’s Financial Institution took deposits and invested in long-term assets (mortgages)  The Financial Institution couldn’t easily liquidate these assets • The bank did not fully suspend payments  Doing so would hurt depositors (customers) • There was some negotiation on who got what  Loan extensions/modifications  Delays in release of deposit proceeds

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