A whole bank company shut down by govt?

[angelsandair]

I dont know the whole story but at about 5:30 Central time, some bank got closed down. Big bank too.

From what I know, if its only this bank closing down, it wont be that bad, but if everybody starts taking their money out of their banks, it could lead to another depression from what I was watching on the news. 

I sure hope not.


Anybody got the details on it? I did a google search but didnt find anything...

[Baitman]

Update - 2008-07-11: (End of day - 3:57 pm PDT) "On, Friday, July 11, 2008, IndyMac Bank, FSB ("IndyMac Bank") was closed by the Office of Thrift Supervision ("OTS") and the Federal Deposit Insurance Corporation ("FDIC") was appointed as Receiver (the "Receiver"). Under the laws of the United States, the Receiver is charged with the duty of winding up the affairs of IndyMac Bank."

The FDIC has put out a guide to answer consumer, investor and media questions.


I found it on this web site
http://ml-implode.com/

[angelsandair]

Oh okay.

But from what I saw, if everybody starts to freak out and withdrawl all their money like what happened in 1929, you think there could be another depression? 

It'll hit us hard big time as my dad works for the construction industry.

[Maverick]

The depression and bank failures that happened in the 20's are what lead to the FDIC and the insurance that every one's bank account has. As long as the account is under 100k (IIRC, it may be more now) the account is fully insured against loss by the bank failure. A bank is a business, like any other and can go out of business but the customers money has a federally mandated insurance policy on it, up to a point.

[ZetaNine]

the good news is the system worked....... FDIC came in and saved depositors........

the bad news........... many more to come.....

[angelsandair]

I dont think that the Govt can cover the whole country if that happens. Well, I hope like hell I'm wrong. (And I frequently am thank God in a sense...)

[ZetaNine]

I dont think that the Govt can cover the whole country if that happens. Well, I hope like hell I'm wrong. (And I frequently am thank God in a sense...)

you have gold as a good option.

[Kaw1000]

the good news is the system worked....... FDIC came in and saved depositors........

the bad news........... many more to come.....

Agreed! Along with GM a ford plant closings,lots of automotive dealerships,airline layoffs
Companies being bought out, many layoffs. Can you think of any more?
Don't worry America we have made it through one depression. We can do it again.
Its comming.

[ZetaNine]

Agreed! Along with GM a ford plant closings,lots of automotive dealerships,airline layoffs
Companies being bought out, many layoffs. Can you think of any more?
Don't worry America we have made it through one depression. We can do it again.
Its comming.

lest we forget the brokerage and real estate meltdowns....

[CAP1]

The depression and bank failures that happened in the 20's are what lead to the FDIC and the insurance that every one's bank account has. As long as the account is under 100k (IIRC, it may be more now) the account is fully insured against loss by the bank failure. A bank is a business, like any other and can go out of business but the customers money has a federally mandated insurance policy on it, up to a point.

AND they have enough capital to cover all possible losses?

[ZetaNine]

AND they have enough capital to cover all possible losses?

think of it as "us"........not they.  and to answer your Q.. no way.

not sure how many of you have 401K plans........but if you have not looked at them in a while......now would be a good time.

[Kaw1000]

think of it as "us"........not they.  and to answer your Q.. no way.

not sure how many of you have 401K plans........but if you have not looked at them in a while......now would be a good time.

Kaw1000<<<<<lost 6k in a quarter.

[ZetaNine]

Kaw1000<<<<<lost 6k in a quarter.

how much of that, if any, was  contribution principal?

[Baitman]

We are heading for a big resession, we can help aleviate the problem if we stop buying from Walmart and the big stores that buy offshore goods and buy local.

[ZetaNine]

We are heading for a big resession, we can help aleviate the problem if we stop buying from Walmart and the big stores that buy offshore goods and buy local.

we are in a recession....I assure you.  the only thing preventing it from not being called that is the unemployment numbers......but all other vairables point to the definition, spot on.  combine that with the destruction of real property values.... and one could argue a depression is possible.  especially when iran is attacked....  food and gas rationing for certain...huge spikes in the costs of........everything.....and a huge devaluation of the dollar.