• money meltdown

    Treasury, FDIC Considering Plan To Guarantee Millions Of Mortgages

    The Washington Post says that the Treasury Department and the FDIC are considering a plan to guarantee millions of mortgages. According to the WaPo, the plan under consideration would encourage lenders to reduce borrowers monthly payments based on the homeowner's ability to pay. To attract lenders into the program, the government would guarantee to repay the lender for a portion of its loss if the borrower defaulted on the reconfigured loan. More »
  • money meltdown

    US Muses Backing All Deposits, No Deposit-Insurance Ceiling

    In order to stem the tide of panic-stricken morons taking out all their cash from banks and further destabilizing the financial system, the US is considering a proposal to completely back ALL deposits. This would mean that there would be no deposit insurance ceiling. So even if you had more than $100,000 in the bank, even if you had $1,000,000 in the bank, the government would give you back ALL of that money if your bank failed. The proposal is only in discussions right now, and several different agencies would have to agree that there was "systemic risk" in order to enact it. Europe has already guaranteed all deposits, however, and in order to keep large corporate accounts from emigrating overseas, the US may be forced to follow suit within a few weeks.

    [via WSJ]

  • money meltdown

    Wells Fargo Wins, Will Buy Wachovia

    Wells Fargo is the winner in the battle for Wachovia, says the New York Times. Apparently, Citibank became nervous about splitting the bank when they saw the size of the "bad assets" it would have to take on, and quietly walked away. The bank will continue to seek $60 billion in damages, however. More »
  • Main Street

    What Does The Bailout Mean For You?

    So, Congress finally passed the bailout bill. You know about the Treasury's newfound $700 billion, and you've heard about the snipped golden parachutes, but what does the 451-page week-old shotgun savior of a bill actually mean for you? More »
  • Judge's Orders

    Not So Fast: Judge Blocks Wachovia Sale To Wells Fargo, Citibank Rejoices

    Tsk tsk, Wells Fargo. You should've known that stealing Citibank's unspoiled bride at the alter was going to draw a bitter legal challenge. Late last night, Citibank's team of repo-lawyers claimed a partial victory, announcing that a New York judge has agreed to block Wachovia's sale. Citibank is also demanding $60 billion from Wells Fargo for interfering with the deal. More »
  • wachovia

    Citigroup Buys Wachovia

    Citigroup is buying Wachovia's deposits, $300 billion of its loan portfolio, and about $42 billion of debt for an undisclosed sum, reports CNN.
    Part of Wachovia will remain independent — including its massive brokerage business which ballooned after it purchased AG Edwards in 2007, as well as its Evergreen investment management division.
    More »
  • exclusives

    FDIC Sheds Qualifying Beneficary Coverage Rule

    The FDIC is going to make two changes to their coverage. One affects beneficiaries and one affects trust accounts, according to a bank insider who participated in teleconference call the FDIC held banks this morning as a refresher course on FDIC coverage. The big news is that the "qualifying beneficiary" rule is gone. Here's the specifics: More »
  • wachovia

    Now That The Largest Bank Failure In U.S. History Is Over, Is Wachovia Next?

    The collapse of Washington Mutual and the FDIC-engineered fire sale to JPMorgan Chase has people worried — about Wachovia. Wachovia's stock is down 45% for the week, and 27% today as bailout talks stalled in Washington and WaMu held a garage sale at the FDIC. More »