Comments on: Indymac Bank Taken Over by the FDIC http://raincityguide.com/2008/07/11/indymac-bank-taken-over-by-the-fdic/ Seattle's Leading Resource for Real Estate Information Sat, 20 Mar 2010 23:08:33 -0700 http://wordpress.org/?v=2.8.4 hourly 1 By: ARDELL http://raincityguide.com/2008/07/11/indymac-bank-taken-over-by-the-fdic/#comment-321895 ARDELL Thu, 17 Jul 2008 16:36:47 +0000 http://raincityguide.com/?p=2015#comment-321895 "Panic rarely results in better results than dealing with something in an orderly fashion." I saw a heart wrenching story on the news of a man who only received $100,000 of his $265,000 life savings. The man had obviously "worked hard for his money" and was elderly and in retirement years. Had he been the first to panic and run to the bank and get his money back, he personally would have been better off. So "better results" for whom, is the question? “Panic rarely results in better results than dealing with something in an orderly fashion.”

I saw a heart wrenching story on the news of a man who only received $100,000 of his $265,000 life savings. The man had obviously “worked hard for his money” and was elderly and in retirement years.

Had he been the first to panic and run to the bank and get his money back, he personally would have been better off. So “better results” for whom, is the question?

]]> By: Kary L. Krismer http://raincityguide.com/2008/07/11/indymac-bank-taken-over-by-the-fdic/#comment-321884 Kary L. Krismer Thu, 17 Jul 2008 15:40:19 +0000 http://raincityguide.com/?p=2015#comment-321884 That assumes regulators are powerless to stop that type of behavior. Panic rarely results in better results than dealing with something in an orderly fashion. BTW, I wouldn't assume the criminal investigation is completely unrelated to simply trying to build confidence in the system. The "perp walk" they did of the Bear Sterns executives was completely unnecessary, except that it was part of the plan to rebuild confidence. That assumes regulators are powerless to stop that type of behavior.

Panic rarely results in better results than dealing with something in an orderly fashion.

BTW, I wouldn’t assume the criminal investigation is completely unrelated to simply trying to build confidence in the system. The “perp walk” they did of the Bear Sterns executives was completely unnecessary, except that it was part of the plan to rebuild confidence.

]]> By: Jillayne Schlicke http://raincityguide.com/2008/07/11/indymac-bank-taken-over-by-the-fdic/#comment-321868 Jillayne Schlicke Thu, 17 Jul 2008 05:35:47 +0000 http://raincityguide.com/?p=2015#comment-321868 Schumer did the FDIC a favor. By outing Indymac, he probably saved the insurance fund some money. Toward the end, Indy was offering very high deposit rates, trying desperately to attract capital.....knowing perhaps that the FDIC would be having to cut the check for those CDs. In other news, It was announced today that Indymac is being investigated by the FBI for mortgage fraud: http://www.cnn.com/2008/US/07/16/fbi.indymac/index.html Schumer did the FDIC a favor. By outing Indymac, he probably saved the insurance fund some money.

Toward the end, Indy was offering very high deposit rates, trying desperately to attract capital…..knowing perhaps that the FDIC would be having to cut the check for those CDs.

In other news, It was announced today that Indymac is being investigated by the FBI for mortgage fraud:

http://www.cnn.com/2008/US/07/16/fbi.indymac/index.html

]]> By: Kary L. Krismer http://raincityguide.com/2008/07/11/indymac-bank-taken-over-by-the-fdic/#comment-321628 Kary L. Krismer Mon, 14 Jul 2008 17:06:54 +0000 http://raincityguide.com/?p=2015#comment-321628 This is interesting: http://online.wsj.com/article/SB121599747071249831.html?mod=googlenews_wsj Apparently our state legislators aren't the only ones who do stupid things. Per the article, Senator Schumer basically started the run on IndyMac. This is the first I've heard of this, so I don't know how accurate it is. But something had to start the run. This is interesting: http://online.wsj.com/article/SB121599747071249831.html?mod=googlenews_wsj

Apparently our state legislators aren’t the only ones who do stupid things. Per the article, Senator Schumer basically started the run on IndyMac. This is the first I’ve heard of this, so I don’t know how accurate it is. But something had to start the run.

]]> By: Kary L. Krismer http://raincityguide.com/2008/07/11/indymac-bank-taken-over-by-the-fdic/#comment-321564 Kary L. Krismer Mon, 14 Jul 2008 02:26:34 +0000 http://raincityguide.com/?p=2015#comment-321564 They aren't supposed to cover multiple accounts, unless the ownership is different. I've heard in the past that they have. Jillayne, some people have more than $100,000 in one bank because they have too much money! They aren’t supposed to cover multiple accounts, unless the ownership is different. I’ve heard in the past that they have.

Jillayne, some people have more than $100,000 in one bank because they have too much money!

]]> By: Jillayne Schlicke http://raincityguide.com/2008/07/11/indymac-bank-taken-over-by-the-fdic/#comment-321555 Jillayne Schlicke Mon, 14 Jul 2008 00:16:17 +0000 http://raincityguide.com/?p=2015#comment-321555 Hi John, Why anyone would have more than 100K in any one bank these days is beyond my comprehension. In other news, Schumer says, "Don't blame me." "Schumer argued that the "breadth and depth" of the problems at IndyMac were "apparent for years, and they accelerated in the last six months." But OTS, he said, "was asleep at the switch and allowed things to happen without restraint." From CNN: http://www.cnn.com/2008/POLITICS/07/13/indymac.schumer/index.html Hi John,

Why anyone would have more than 100K in any one bank these days is beyond my comprehension.

In other news, Schumer says, “Don’t blame me.”

“Schumer argued that the “breadth and depth” of the problems at IndyMac were “apparent for years, and they accelerated in the last six months.” But OTS, he said, “was asleep at the switch and allowed things to happen without restraint.”

From CNN:

http://www.cnn.com/2008/POLITICS/07/13/indymac.schumer/index.html

]]> By: John back pain Austin http://raincityguide.com/2008/07/11/indymac-bank-taken-over-by-the-fdic/#comment-321524 John back pain Austin Sun, 13 Jul 2008 13:54:04 +0000 http://raincityguide.com/?p=2015#comment-321524 Those with multiple accounts under $100,000 are probably screwed. During the S & L mess I had a friend with three accounts each under $100,000 that totaled $230,000. She was reimbursed a total of $100,000. Those at the S & L assured her all the money was insured. There was another S & L across the street. She lobbied Congress to no avail. Those with multiple accounts under $100,000 are probably screwed. During the S & L mess I had a friend with three accounts each under $100,000 that totaled $230,000. She was reimbursed a total of $100,000. Those at the S & L assured her all the money was insured. There was another S & L across the street. She lobbied Congress to no avail.

]]> By: Jillayne Schlicke http://raincityguide.com/2008/07/11/indymac-bank-taken-over-by-the-fdic/#comment-321481 Jillayne Schlicke Sun, 13 Jul 2008 01:33:22 +0000 http://raincityguide.com/?p=2015#comment-321481 Hi Michael, I completely agree with you. Some are blaming Senator Schumer for the bank run. IMO, that didn't bring Indymac down, it was the bad loans. Perhaps the Senator saved the FDIC a few billion by sounding the alarm. What happens when the FDIC runs out of money????????? Hi Michael,

I completely agree with you. Some are blaming Senator Schumer for the bank run. IMO, that didn’t bring Indymac down, it was the bad loans.

Perhaps the Senator saved the FDIC a few billion by sounding the alarm.

What happens when the FDIC runs out of money?????????

]]> By: Michael F. Becker http://raincityguide.com/2008/07/11/indymac-bank-taken-over-by-the-fdic/#comment-321446 Michael F. Becker Sat, 12 Jul 2008 15:21:38 +0000 http://raincityguide.com/?p=2015#comment-321446 People need to understand that there are no free lunches in this world! When a bank offers a rate on its CDs that is markedly higher than other banks, that is in indication that the bank may be having serious problems attracting deposits and capital! Rather than lusting after the higher rate on their money, people should put their money elsewhere. People need to understand that there are no free lunches in this world! When a bank offers a rate on its CDs that is markedly higher than other banks, that is in indication that the bank may be having serious problems attracting deposits and capital! Rather than lusting after the higher rate on their money, people should put their money elsewhere.

]]> By: Jillayne Schlicke http://raincityguide.com/2008/07/11/indymac-bank-taken-over-by-the-fdic/#comment-321428 Jillayne Schlicke Sat, 12 Jul 2008 06:54:15 +0000 http://raincityguide.com/?p=2015#comment-321428 Hi Rhonda, No word yet in the mainstream media about local Seattle area employees. I imagine that many will still be at the bank branches on Monday. The bank didn't close, it's just being taken over by the FDIC. Hi Rhonda,

No word yet in the mainstream media about local Seattle area employees. I imagine that many will still be at the bank branches on Monday. The bank didn’t close, it’s just being taken over by the FDIC.

]]>