Biggest US bank failure ever
- Thread starter 2-0-Sixx
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Generally speaking (although double check with your tax profession to verify) As long as each acct. has under 100K it is FDIC insured., this can be spread many different ways, and with spouse or POA's it can be up to 800k at one financial institution FDIC insured. If the bank goes under and gov't sells off the assets, based on the return, will deem how much you'll get. Like some people at IndyMac at 700k, after all said and done, they walked with 400k, 100 fdic insured, and 50cent on the dollar for the remaining.
Now, all that aside, if banks quit lending and continue to squeeze credit standards, and some type of bailout isn't agreed upon, the only other resolution is for the Fed to print more paper, that will cause some hyperinflation, oil will skyrocket, dollar will plunge, and that little FDIC sticker won't mean squat anyway.
The frame for a bailout is a good idea, as long as there is REAL OVERSIGHT and ACCOUNTABILITY, like Jim Cramer and Dennis Kucinich keep pointing, this needs to be a bailout for ordinary folks to stay in their homes at the end of the day. imo, at the same time, we need to give investors (not speculators) the opportunity/incentive/risk reduction to re-enter the market.
The effe'd up part from what I heard is that WaMu and Wachovia weren't really even on the gov't watch list of the 272 other smaller banks that are potential candidates for failure. WaMu was supposed to have enough liquid to get them through the year.
The media is just a savage beast as anything else, once they start to slander something (person, place, thing) whether it's real or not, it turns into the self fullfilliing prophecy, i.e people running to pull out all deposits, which in turn does kill liquidity.
All I know is that the current system is way broke and in dire needs of some tender lovin'
Now, all that aside, if banks quit lending and continue to squeeze credit standards, and some type of bailout isn't agreed upon, the only other resolution is for the Fed to print more paper, that will cause some hyperinflation, oil will skyrocket, dollar will plunge, and that little FDIC sticker won't mean squat anyway.
The frame for a bailout is a good idea, as long as there is REAL OVERSIGHT and ACCOUNTABILITY, like Jim Cramer and Dennis Kucinich keep pointing, this needs to be a bailout for ordinary folks to stay in their homes at the end of the day. imo, at the same time, we need to give investors (not speculators) the opportunity/incentive/risk reduction to re-enter the market.
The effe'd up part from what I heard is that WaMu and Wachovia weren't really even on the gov't watch list of the 272 other smaller banks that are potential candidates for failure. WaMu was supposed to have enough liquid to get them through the year.
The media is just a savage beast as anything else, once they start to slander something (person, place, thing) whether it's real or not, it turns into the self fullfilliing prophecy, i.e people running to pull out all deposits, which in turn does kill liquidity.
All I know is that the current system is way broke and in dire needs of some tender lovin'