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Low-end providers affected by Silicon Valley Bank
ask_seek_knock
Member
Sorry about the situation of SVB, and I guess some low-end providers here are among the victims. Luckily or unfortunately, I'm one customer of the affected providers.
So a piece of advice is to initiate a credit card or PayPal refund before things worsen.
I'm sorry but my service has been down since the day before yesterday, and the website is down as well.
I don't believe the provider was affected so quickly, timely, and coincidentally, and funny.
I mean their cash may be disturbed in days ahead, and how could the bankruptcy and service down happened precisely in the same day? Not absolutely impossible, but strange.
Good luck, some people.
Thanked by 1greentea
Comments
any names of the providers involved ?
Only insiders know, so we outsiders have no options but to await news.
If both your service and the website of the provider went down days ago, then it's confidant to say your head was hit by a 'lottery'.
If that's the case, then I feel sorry and would appreciate it if you append the providers' names in the thread.
Anyway, I'm 100% confident that not only small depositors but huge ones will get their money back. After all, that's America.
Please don't listen to this advice. You'd just be causing your provider unnecessary charges, technically committing fraud if you have received the service, and generally making any bank run problem far, far worse. Also, just from a logical POV, if your provider's bank was affected, they won't be able to pay the refunds in any case.
Just because you've had a day's outage from your provider, you still know zero about the causes of that. It's very unlikely to have any relationship to SVB unless they happened to bank with them AND happened to have to pay their upstream over the weekend. And even if that was the case, most businesses would extend temporary credit to a customer in this situation because they know there's nothing the customer can do about it.
Also, remember that the FDIC is supposed to be returning the first $250k to people this week. It's not the end of the world, unless people are whipped up into a panic by others with a vested interest in making it into a bigger issue.
This problem is only happening because everybody suddenly decided en-masse to withdraw their money. If they'd been using their account as normal, and withdrawing money as and when it was needed, there wouldn't have been a problem. It's not like the money has gone anywhere, it's that a chunk of it is just sitting in bonds that are a couple of years away from maturity. And if the government have taken over it, that money will be returned and probably early than the dates the bonds can be redeemed on because they can take over the bonds and temporarily create the money to pay it back immediately rather than waiting for maturity.
There's a massive media frenzy about this that has a very real chance of causing a run on many banks. The way SVB operated pretty normal because in normal times, people don't all want to withdraw their money at the same time. This problem will happen at every bank if everybody decides to withdraw all their money.
There is no low end providers who is based in SV. Since SVB is on the way to be acquired by HSBC for 1 pound - better ask who's with HSBC.
@ralf Some of your points are reasonable, about which I totally agree.
But there are problems you've missed:
Both the service and the website of the provider went down on almost the precise day of the bankruptcy of SVB.
Is there correlation between the two? Theories, guess, or even conspiracies emerge actively. I mean if my service and the website of the provider had went down, say 1 or 2 weeks later, then I shouldn't have link them together.
Normally, if my service is down, I will just open a ticket, requesting for an explanation and an early fixture if possible. But now, there are no way to open tickets.
What else can I do, as a helpless customer, except for waiting?
Anyway, I'm 100% confident that not only small depositors but huge ones will get their money back. After all, that's America.
TBH that makes it less likely to be correlated IMHO.
If you have already received the service, a chargeback isn't appropriate. You're only supposed to file a chargeback if you have ALREADY pursued a refund from the supplier. One day (and not even a business day) is definitely not sufficient time for them to have necessarily even seen your ticket, let alone verified the situation.
The affected companies will be getting their money this week. There's no way a company would destroy a working business deal for a late payment in this situation, unless they were already looking for an excuse to terminate the business relationship.
The odds of any bill being due on exactly the day the bank failed is 1/30. You may be right, your company might be that unlucky one in 30, but even if that's the case, they'll still get their money this week.
Also - all this fuss over one day's outage from your provider. What's the SLA in the agreement you have with them?
There is no way a provider (LET or not) would be legitimately 'bankrupted' from SVB already. They went down on Friday leading into a weekend in the middle of the month, it's extremely unlikely that their colo/dedicated server rentals expired just in time for them not to pay them and they have no other way to handle it or even speak to their upstreams and work a deal out.
It's bad timing or someone deciding good timing to exit scam.
There is nothing wrong with charging back if they're getting kneecapped by @yoursunny for not having ipv9 and went offline, but I agree with @ralf if the host was legitimately impacted by SVB/SB closures and had their cash tied up for a bit the absolute worst thing you could do is start initiating a bunch of chargebacks for that reason alone.
Either way, federal government has already said 100% of all deposits (even above FDIC insurance limit) will be available and backed.
My original intentions are as follows:
1. Sorry for SVB and the affected;
2. Both my service and provider's website went down (vanished in the haze);
3. Is there anyone who's in similar situation? And let us list the providers' name.
I agree with you, @ralf @crunchbits
And the reason is simple: the financial condition of SVB is just fine and robust, while running on a bank only worsens situation.
Last, no service level guaranteed in my service.
@ask_seek_knock How old are you?
Moved to other thread: https://lowendtalk.com/discussion/comment/3635043/#Comment_3635043
low quality disinformation thread
That is absurd.
That is being a dick.
A very rude usage of word.
Hope your mother could saw this too.
You didn't solve any problems, but to spread hate speech.
Good, excellent.
So what you're saying is that you haven't read our community rules.
Seemingly young enough that asking could get you put onto a list...
Low end providers use the bank of PayPal
@cociu was affected!
That would be the Bank of 7 Sisters, which is not fallen yet.
This is why you don't keep all your eggs in one basket. Most bank accounts are FREE to open, and have minimal fees to hold a presence there. I use both credit unions and banks, that are either protected by FDIC or NCUA. I'd rather spend a yearly fee then be at risk of losing money trying to save a couple bucks.
Unless you have over $500K in cash sitting what's the point of spreading your cash around a bunch of banks/cus? You're insured already $500K between two bank accounts lol. Seems like an inconvenience if you're spreading smaller amounts.
Seems like most people that are terrified of a bank crash don't even have over the insured threshold.
And no lowend VPS providers are going to be affected by a bank crash of banks that are primarily used by millionaired/billionaires lmao.
Does your business need a bailout? Well guess what, you're pre-approved for PayPal Working Capital!
ngmi
I love that program. I actually get them every year now and just hold on to them as buffer money, just to smooth over the slow months since MXroute has a fairly low profit margin. Helps me sleep better at night.
PayPal: too lowend to fail.
You hoped @raindog308's mother saw you being a dick? Have some shame from your fraud. SMH
cough pretty sure she’s seen enough dick cough 🫣
OP, who was your provider?
Seems @adly likes talking about her private life. Maybe @raindog308 like her being talked about that way, maybe not?
Either way, @TimboJones and @BingoBongo have thumb-ed up the comment, which surprised me to some extent.
I thought most civilised people show respects to the elders (especially strangers), but seems I'm wrong.
Cultural differences, I guess.
Allow me to cite the comment once again, I just want to remind myself the cultural or recognitional differences:
You said it, @adly
What makes you think there are any civilised people on LET?