60 Minutes had an interesting report tonight on the FDIC’s stealth operations for taking over failing banks. Amazing to watch them come into a bank after the last customer leaves, and simply take over. I had no idea the process was all so hush-hush.
Anthony Hecht is The Stranger's Chief Technology Officer. He owns no monkeys. More by Anthony Hecht
Really? You had no idea they were trying to avoid a run on the bank and hence, being hush-hush?
What if the FDIC needs a bailout?
~Sept. 2007, I was traveling and logged in to my bank account on the Sunday morning knowing I’d need cash and saw “The FDIC is closing your bank. Stay tuned for more information.” Netbank, which the FDIC handed over to ING Direct.
They handled it beautifully, slowly and thoroughly, but coincidentally I would have been screwed that Sunday if things had been cut too close. They did a very good job, rarely inconveniencing or scary.
What an interesting, dramatic story.
one of the few things that works from DC – of course – Bush and his pigs let banks off by not paying much in the way of insurance for 10 years, hence, the fund is low
you know another BREAK for the banks to increase the bonus for execs.
if word was out for even a day or two, people would take out money, paperwork would be shredded and all nature of shit would happen before the FDIC had physical control
makes sense to me
Oh, it’s hush-hush alright. But what 60 Minutes showed was a story about a bank with five branches. Wonder how different things are when you’re seizing a bank with more than 2,000 branches. Media reports at the time said that WaMu’s CEO (not Killinger; his short-term replacement Fishman) was on a plane between New York and Seattle.
Meanwhile, why isn’t Sheila Bair getting big promotions in Washington? She’s the FDIC chair and is widely credited with seeing the housing debacle coming for years.
Come on — didn’t you know all government activities are bureaucratically inept?
Seriously, that’s a beautifully done operation.
#7
from what I can see, she is the most cogent appointee that Obama has made. a star in the chaos
Yet another fine example of why I keep my money in a Credit Union. Better staff, better service, no BS sub-prime mortgages.
@10: Oh, I’m in a credit union now. A local one.
@11 caveat: Although for a long time ING Direct had the best interest rates I could find–again kudos to the FDIC for choosing well.
Congrats on choosing a local credit union!
this was great, thanks
Pffff… yet another high-haired tv male last week sporting a black suit, white shirt & golden tie. The first and best version of that was Jim Rogers on Rachel Maddow, 3/3/2009. Far as I can tell, he started that look and he’s the only one who succeeded at it. So far.
I do appreciate 60 Minutes’ version’s collar points, but maybe I’m ten years behind because I live here. (Don’t care what’s current, as long as it looks interesting/good.)
Hey! I bet the FDIC is going to be hiring!!! Time to submit my resume’.
BTW, I would LOVE to start a run on B of A. Stand in the lobby and yell “What do you mean you can’t give me my money because you are insolevent?”
@16, I will give you a (Canadian) dollar if you do that. I want to toast marshmallows over their burning corpse. It would be worth bringing down the entire economy.
the FDIC is nuts if they think they’ll only need $65 Billion over the next 5 years.
Every cloud has a silver lining.
So I know my money’s safe. How screwed are the people who work in the banks?
@16: BoA (curse them) are like Silvio Berlusconi. Quickly used questionable means to grow too big to fail.