Three more banks in the U.S. were closed on Friday, and the FDIC wasn’t able to find a buyer for the largest of them all, forcing them to create what they call a bridge bank, which will exist temporarily for the purpose of customers to transfer their money somewhere else.
Although the year has started off [...]
All Posts Tagged With: "Deposit Insurance Fund"
Bank Closures in 2010 Begin in Earnest: Three More Closed, One with No Buyer
FDIC’s Need For Capital Putting Pressure on Community Banks
The depletion of funds from the Federal Deposit Insurance Corporation’s deposit insurance fund has left the FDIC with few options, and they consequently decided to rebuild the fund by having banks across the nation pay insurance premiums for the next three years. Those gigantic premiums will be due at the end of December.
With over 500 [...]
FDIC Chairman Sheila Bair Wants to Create Fund Forcing Banks to Contribute: Would Protect Against Big-bank Failures She Says
The U.S. government and its representative workers like FDIC chairman Sheila Bair, still don’t get why they should leave the market alone and let it work out its own problems and challenges. In Bair’s case, the latest potential interference is to force banks (and other secured creditors) to create a fund in order to protect [...]
December 9th, 2009 | Gary | Comments | Continued
Deposit Insurance Fund in Red by $8.2 Billion
As of the end of the third quarter, the Deposit Insurance Fund, the fund that backs up the guarantee that deposits in bank are secure up to $250,000, has dropped into the red to the tune of $8.2 billion.
This is no surprise, as the numbers have been suggesting this for months, but the FDIC has [...]
FDIC Board Unanimously Approves $45 Billion Prepay for Banks to Shore Up Deposit Insurance Fund
In an expected move, the board of the Federal Deposit Insurance Corp. unanimously approved a 3-year prepayment by banks to the tune of $45 billion in order to put liquidity back into the Deposit Insurance Fund, which ran out of money in the third quarter, and has been running at a deficit ever since.
The overall [...]
Next Bank Failure will be No. 100 this Year – FDIC Will Operate in Red through 2012 at Least
The Federal Deposit Insurance Corp. and the government have been dreading the eventual failure of bank No. 100 this year, as the unwanted milestone is a negative psychological barrier which reminds the American people that the recession isn’t close to being over, no matter what the mainstream media lapdogs assert and parrot.
As far as handling [...]
The FDIC is Out of Money – Now What?
Now that the FDIC has effectively admitted they’ve run out of money in the Deposit Insurance Fund, what does that mean to for the banking system in the U.S., and the consumers and businesses using them?
First we have to understand that the banking system, the FDIC and the Treasury Department are essentially insolvent. If Japan [...]
Will New Song Title Be – I Left My ‘Home’ In San Francisco?
It won’t be long before Alt-A loans – which are ARMs or adjustable rate mortgage loans – will begin to come due, and one of the most vulnerable locations in the country will be San Francisco, and a couple of other surrounding areas.
One report says, “Of the 10 metro areas nationwide with the most option [...]
Two Irwin Union Bank Subsidiaries Fail – Costing Deposit Insurance Fund another $850 Million
Two more banks were shuttered this week, as Irwin Union Bank subsidiaries based in Indiana and Kentucky were closed down by regulators, bringing this years total bank failures to 94, and costing the Deposit Insurance fund another $850 million.
According to the Federal Deposit Insurance Corp. the two closings were Irwin Union Bank and Trust Co. [...]
Editorial: Will Our Money Ever Feel Safe Again?
For those of us who understand the underlying weaknesses and vulnerability of fractional reserve banking, and by extension the Federal Reserve and the FDIC, among other elements of the banking system, it wasn’t a surprise when the banking system collapsed. But for those unaware of this, it has shaken them to the core, as what [...]
September 8th, 2009 | Gary | Comments | Continued
Reasoning of FDIC Behind New Supervisory Procedures of Newly Insured Banks
The reasoning behind the FDIC’s decision to increase the supervisory period over new banks from three to seven years is faulty to me, although it won’t hurt the banks in general.
What the FDIC drew their conclusion from was data showing that from 2000 to 2007 only 10 percent of new banks failed, while from 2008 [...]
GS certainly does have a PR hill to climb and, as a homeowner whose investor is GS with Wells Fargo ...
It's a proposal. It's not a signed adjudicated order. It's got a ways to go. The author ...
There are a couple things wrong with this article. First, the "agreement" did not include the Equity Committee, and ...