FDIC’s Deposit Insurance Fund Reserve Ratio Plunges To 0.27% Of Deposits

The FDIC’s Deposit Insurance Fund has plunged to an all time low of just $13 billion as of March 31, or 0.27% of $4.8 trillion in insured deposits. It is worth nothing that since March 31, 15 new banks have failed which includes the biggest one so far this year, BankUnited (which Marla has a [...]

BankUnited Closed, FDIC Named Receiver, Sold To Ross, Carlyle, Blackstone

In an early precedent of Bank Failure Friday (and a LOT of work for the CNBC green shoot spin doctors for early Friday am consumption) BankUnited just expired, in the largest blow up of a bank to date in 2009. The bank will be “sold” to Carlyle, Blackstone and WL Ross. But why should Carlyle [...]

FDIC Planning for Huge Bank Failure?

Late reports this evening are citing an anonymous source that says the FDIC is preparing some sort of superfund that could handle the failure of a large “systemically important financial institution.” Reuters reports: “Another source familiar with the FDIC’s plans said on Tuesday that the agency was considering seeking to create a new fund to [...]

FOIA Disclosure Busts Paulson, Geithner And Bair

Judicial Watch, which lucked out majorly on a FOIA request to the Treasury, has received several hundred pages of stunning revelations, among which are that Hank Paulson essentially used the same tactics that he used on Ken Lewis on a group of nine bankers at the October 13 meeting which apportioned government investments to the [...]

Guest Post: Open Letter To FDIC

To: Sheila Bair, FDIC Earlier this evening Advanta, which through its FDIC-insured bank Advanta Banc Corp makes credit card loans, declared its intentions to allow its securitization trust to go into early amortization, while concurrently launching a coercive tender offer for the securities issued by the trust. This marks the first intentional amortization event, which [...]

FDIC Failure Friday: Casualty #33, And More On The Stress Test

Just like a Swiss watch, bank failure #33 for the year is Westsound Bank, of Bremerton, Washington. The bank’s assets will be assumed by Kitsap Bank of Port Orchard. As of March 31, 2009, Westsound Bank had total assets of $334.6 million and total deposits of $304.5 million. Kitsap will not assume the approximately $9.4 [...]