BREAKING: US government says it will back Silicon Valley Bank customer deposits

"Today we are taking decisive actions to protect the U.S. economy by strengthening public confidence in our banking system. This step will ensure that the U.S. banking system continues to perform its vital roles of protecting deposits and providing access to credit to households and businesses in a manner that promotes strong and sustainable economic growth," Federal officials said in a statement Sunday evening.

They clarified in that statement that taxpayers would not be footing the bill for the losses of the bank.

"After receiving a recommendation from the boards of the FDIC and the Federal Reserve, and consulting with the President, Secretary Yellen approved actions enabling the FDIC to complete its resolution of Silicon Valley Bank, Santa Clara, California, in a manner that fully protects all depositors. Depositors will have access to all of their money starting Monday, March 13. No losses associated with the resolution of Silicon Valley Bank will be borne by the taxpayer," the statement continued.

They also said that similar efforts would be made to ameliorate customer losses from the downfall of New York-based Signature Bank, which was closed on Sunday by state authorities.

"We are also announcing a similar systemic risk exception for Signature Bank, New York, New York, which was closed today by its state chartering authority. All depositors of this institution will be made whole. As with the resolution of Silicon Valley Bank, no losses will be borne by the taxpayer," the Federal Reserve said.

Not everyone, however, would have their funds protected.

"Shareholders and certain unsecured debtholders will not be protected. Senior management has also been removed. Any losses to the Deposit Insurance Fund to support uninsured depositors will be recovered by a special assessment on banks, as required by law," the statement read.

The Federal Reserve Board said that they would "make available additional funding to eligible depository institutions to help assure banks have the ability to meet the needs of all their depositors."

The concluded by assuring consumer banking customer and the American public that everything will be fine. "The U.S. banking system remains resilient and on a solid foundation, in large part due to reforms that were made after the financial crisis that ensured better safeguards for the banking industry. Those reforms combined with today's actions demonstrate our commitment to take the necessary steps to ensure that depositors' savings remain safe," they said.