If you think NYC government is unresponsive, bureaucratic, inefficient and terrible, giving it a bank is the last thing you should want.

Open up and expand the municipal credit union.

https://www.nymcu.org/joinmcu/whocanjoin.aspx

Their savings rates are atrocious though. I’m a city employee. My salary is already less than private as it is. Gotta maximize savings elsewhere. I personally bank with Chase and Marcus by Goldman Sachs.

I assume that wells fargo et al provide the banking services for free and give interest.

If New York builds its own bank will it also be free?

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that sounds like a recipe for bankruptcy. I mean thats precisely what we wanted to avoid with the subprime mortgage crash right? Are we ok with doing that now again?

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NY pays 8% of the $100B collected yearly revenue to make payments on debts the City owes to private lenders because it has no public bank.

For the love of God, can the city please just focus on providing basic services and infrastructure, boosting the economy and reducing poverty?

NYC needs to stop letting banks and investment companies buy up real estate and price hike rent so it's unsustainable. There shouldn't be vacant apartments and ppl living 6 in a unit...

I think they think they can reduce poverty by owning their own bank lol guarantee it’ll be insolvent in less than 5 years

Ye banks don’t do that, it’s generally their asset management divisions, and you know who the biggest clients are of those divisions? Municipal and government pension funds

That’s not how that works. Nyc issues bonds which investment companies buy with their client funds in order to earn interest. Nyc wouldn’t be able to just loan itself money even if was a bank, commercial and investment lines must have clear separation of funds by law. Their bank can borrow from the fed but those are short term loans for operating capital, like a day or two