Bailed Out Banks Now Failing!
November 7, 2009 by Pete Mitchell
Filed under All Posts, Foreclosure Busts, Foreclosure Scams, Uncategorized
California bank failure will cost FDIC $1.4 billion! Four other banks also failed this Friday and were taken over by the FDIC.
If only we could see the Future! Here we go again on this merry-go-round of wasted taxpayer dollars.
Five more banks, including a California-based institution that reportedly received federal bailout funds in 2008, were closed Friday by regulators, bringing the 2009 total to 120 failed banks.
The latest banks to be taken over were United Security Bank of Sparta, Ga.; Home Federal Savings Bank of Detroit; United Commercial Bank of San Francisco; Gateway Bank of St. Louis and Prosperan Bank of Oakdale, Minn., according to the Federal Deposit Insurance Corp.
United Commercial, which had branches across the U.S. and also in Hong Kong and Shanghai, focused on the Chinese-American market in the U.S. and had obtained a very difficult to get banking license in China, the Los Angeles Times reported.
The Times said United Commercial received $299 million in federal bailout funds last year.
The FDIC estimated United Commercial’s failure would cost its insurance deposit fund $1.4 billion.
The last time more than 100 banks failed in a single year was 1992. By number, banks in Georgia account for one-fifth of all U.S. institutions closing in 2009, with 21 failures, followed by Illinois with 209, California with 14 and Florida with nine.
This is really amazing. We are propping up big banks with taxpayer money and they later fail anyway. While millions of American homeowners are being foreclosed on, banks suck up our tax dollars through these bailouts, and then continue to make bad decisions and cost everybody even more money.
Here’s a novel idea, one that our socialist government may want to think about: What if we didn’t prop up companies like AIG, Fannie Mae, Freddie Mac, GM, GMAC, and all the too numerous to mention by name banks?
Do you think that if we had just let all these companies either make it or not… just like the millions of smaller companies and millions of homeowners are expected to do… that as a country we might actually be better off?
Because I don’t know about you but I am a little concerned about us taxpayers ultimately being on the hook to repay the $700 Billion in bailout money!
Let me know what you think.
Fight the good fight,
Pete Mitchell
Some Information Compliments of MarketWatch, Inc
I knew the bailout of the banks would result in more fraud, bad decisions and wasted dollars!
Pete, thanks for keeping up on all this. As far as what I think, I feel the ultimate tab is going to be much higher than what’s talked about or even known at this point.
Also, a big thank you for the information and software program I received in lesson 6 this past week, from your loan mod university program. With what I’m learning, I can’t imagine what I was thinking a few months back when I thought I didn’t need anybody’s help. This stuff is priceless!
Thanks again!
Joe Radinsky