Share on Google Plus Share on Twitter Share on Facebook Share on LinkedIn Share on PInterest Share on Fark! Share on Reddit Share on StumbleUpon Tell A Friend

Printer Friendly Page Save As Favorite View Favorites (# of views)   1 comment
Exclusive to OpEdNews:
OpEdNews Op Eds

It's Friday 9/5/08 – Time for another Bank Failure (or two). FNMA, FHLMC "Can I please BUY A VOWEL?"

By       Message Joseph Russo     Permalink
      (Page 1 of 1 pages)
Related Topic(s): ; ; ; ; ; ; ; ; ; ; (more...) ; ; ; ; ; , Add Tags  (less...) Add to My Group(s)

View Ratings | Rate It

opednews.com

Author 17868
- Advertisement -
It's Friday 9/5/08 – Time for another Bank Failure (or two).   FNMA, FHLMC "Can I please BUY A VOWEL?" 

It's just another Friday, but Fridays are the days that Bank Failures are announced. (see you learned something today – "Failure Friday" as opposed to "Merger Monday"). You can't make this stuff up! This Friday is especially dismal, because two announcements are in the wind; actually the second announcement is a "twofer".

 

The first failure is a relatively small one compared to the second one.

- Advertisement -
 

Associated Press article - Silver State Bank Failure According to the article "The FDIC estimated its resolution will cost the deposit insurance fund between $450 million and $550 million. Regular deposit accounts are insured up to $100,000. There were about $20 million in uninsured deposits held in roughly 500 accounts at Silver State that potentially exceeded the insurance limit, the FDIC said."   

 Here comes the "twofer"!

"That ain't nothing" compared to this story Treasury set to bail out Fannie Mae, Freddie Mac . This was no surprise to those in the know; which may have been the real reason the "Housing Bill" was passed. The "relief" to the homeowners was just throwing a bone to the consumers.  Now you know why the "Housing Bill" was passed before the Congressional summer recess!

"Fannie Mae's market cap stands at $7.5 billion and Freddie Mac's is about $3.3 billion. Some reports estimate the government's cash injection ultimately could be between $15 billion and $20 billion". OK – OK  for all you "purists" out there – Technically they are not "Banks" with deposits, but what the heck – This will still cost the taxpayer big time – Million-Billion, what the difference- "Can I please  BUY A VOWEL?" (on credit of course).Fannie Mae and Freddie Mac together -  Two for one  - "twofer" – Get it?

Although technically, this is not a "bank failure"; tell that to the shareholders on Monday. Fannie Mae & Freddie Mac Shareholders Look Doomed (FNM, FRE). Now you know why the stock market was so erratic this week.

Ouch !! Remember this article in OpEd news If a Bank can't pay the Mortgage on its own Property-Can it foreclose on itself? June 29, 2008?  I received plenty of emails that said I was totally wrong, and was laughed at.  How can a large bank(s) fail – "they" said?  Remember, this article Dr. Doom and Joseph Russo

- Advertisement -

What more can I say? – Stay tuned 'till next time. – Next Friday perhaps?

- Advertisement -

 

- Advertisement -

View Ratings | Rate It

www.ConsumerFinancialFacts.org
Joseph Russo is an Author, Real Estate and Credit Expert, an Author/Journalist - Television & Radio Show Commentator and Professional Speaker as well as a Radio Show host and host of a NC cable TV show series, "Financial Self Defense" Joseph (more...)
 

Share on Google Plus Submit to Twitter Add this Page to Facebook! Share on LinkedIn Pin It! Add this Page to Fark! Submit to Reddit Submit to Stumble Upon



Go To Commenting
/* The Petition Site */
The views expressed in this article are the sole responsibility of the author and do not necessarily reflect those of this website or its editors.

Writers Guidelines

Contact AuthorContact Author Contact EditorContact Editor Author PageView Authors' Articles
- Advertisement -

Most Popular Articles by this Author:     (View All Most Popular Articles by this Author)

Dr. Doom(Dr. Nouriel Roubini)–The Prophet of Economic Disaster was right!

Economic Recovery and Housing Recovery in 2012

Bank Failures are starting in 2009 – FDIC will be busy this year

It's Friday 9/5/08 – Time for another Bank Failure (or two). FNMA, FHLMC "Can I please BUY A VOWEL?"

URGENT ATM Fraud Alert for Interstate Travelers to the Inauguration

If a Bank can't pay the Mortgage on its own Property - Can it Foreclose on Itself?