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The FDIC was founded during the Great Depression, banks were crashing and citizens couldn't withdraw their...

The FDIC was founded during the Great Depression, banks were crashing and citizens couldn't withdraw their money. Or true or false
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True. FDIC (Federal Deposit Insurance company) was created by US government in 1933 to protect the customers deposit in Bank. As during the Great Depression, banks were crashing and customers rushing to bank to withdraw their deposits in the Bank, which is making the situation more severe and putting more stress on banking industry. Since, Banks were not in the position to give back money to al customers which results into customers losing faith in Banks.

Therefore, FDIC was created to insure the customer deposits in a way that there will never a panic situation in customers.

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