Thursday, May 21, 2009

Think Your Money Is FDIC Insured?

Originally published on Thursday, May 21, 2009 at

Today BankUnited FSB became the nation's 34th bank to fail this year. Bank
failures are nothing new, but this one will cost the FDIC $4.9 Billion per the
FDIC press release issued Thursday, May 21. BankUnited had assets of $12.8
Billion and deposits of $8.6 Billion.

The takeover group is led by the infamous Carlyle and Blackstone investment
groups. The take-away for the average Joe Public - is this:

The FDIC started 2008 with $53 Billion in its insurance fund, and this number
is now less than $11 Billion. This translates to mean that less than a quarter
of every $100 you have in a bank account is now FDIC "insured."

It does not take a genius to predict that the FDIC insurance fund will be
depleted this year, and a public bank closing (or "bank holiday" - as if it were
some sort of twisted vacation) is likely this year.

Source: Liberty Maven

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