Even I'm surprised and amazed at what a Great Unwinding and Panic looks like in real life. Theory is one thing, and damn, we nailed it there, but to see it in action is, well, quite stunning. Trillions are going to be lost over the next few months. Trillions.
Prepare for more of this run on bank stuff... And if you have more than $100,000 exposed in any FDIC account, or if your accounts aren't FDIC insured, or god forbid, if you have ANY funds with Countrywide or IndyMac (I'm short), then what are you doing reading this blog - get down to the bank and get your cash out now!
A rush to pull out cash - Worried about the stability of mortgage giant Countrywide Financial, depositors crowd branches.
Anxious customers jammed the phone lines and website of Countrywide Bank and crowded its branch offices to pull out their savings because of concerns about the financial problems of the mortgage lender that owns the bank.
At Countrywide Bank offices, in a scene rare since the U.S. savings-and-loan crisis ended in the early '90s, so many people showed up to take out some or all of their money that in some cases they had to leave their names.
In West Los Angeles, a Countrywide supervisor brought in from another office served coffee to more than 25 people waiting calmly for their turn with the one clerk who could help them.
Bill Ashmore drove his Porsche Cayenne to Countrywide's Laguna Niguel office and waited half an hour to cash out $500,000, which he then wired to an account at Bank of America.
"It's because of the fear of the bankruptcy," said Ashmore, president of Irvine's Impac Mortgage Holdings, which escaped bankruptcy itself recently by shutting down virtually all its lending and laying off hundreds of employees.
"It's got my wife totally freaked out," he said. "I just don't want to deal with it. I don't care about losing 90 days' interest, I don't care if it's FDIC-insured -- I just want it out."
Prepare for more of this run on bank stuff... And if you have more than $100,000 exposed in any FDIC account, or if your accounts aren't FDIC insured, or god forbid, if you have ANY funds with Countrywide or IndyMac (I'm short), then what are you doing reading this blog - get down to the bank and get your cash out now!
A rush to pull out cash - Worried about the stability of mortgage giant Countrywide Financial, depositors crowd branches.
Anxious customers jammed the phone lines and website of Countrywide Bank and crowded its branch offices to pull out their savings because of concerns about the financial problems of the mortgage lender that owns the bank.
At Countrywide Bank offices, in a scene rare since the U.S. savings-and-loan crisis ended in the early '90s, so many people showed up to take out some or all of their money that in some cases they had to leave their names.
In West Los Angeles, a Countrywide supervisor brought in from another office served coffee to more than 25 people waiting calmly for their turn with the one clerk who could help them.
Bill Ashmore drove his Porsche Cayenne to Countrywide's Laguna Niguel office and waited half an hour to cash out $500,000, which he then wired to an account at Bank of America.
"It's because of the fear of the bankruptcy," said Ashmore, president of Irvine's Impac Mortgage Holdings, which escaped bankruptcy itself recently by shutting down virtually all its lending and laying off hundreds of employees.
"It's got my wife totally freaked out," he said. "I just don't want to deal with it. I don't care about losing 90 days' interest, I don't care if it's FDIC-insured -- I just want it out."
15 comments:
Wall street does not Blue Falcon (Buddy F*ck) a company for nothing. The analysts are bought and paid for my the companies they rate (regardless of what the post-Enron; Worldcon; & Global Double Crossing laws say). CFC did something to piss Wall Street off, so Wall Street's revenge is to start a panic on CFCs stock & deposit bank. Lending costs will skyrocket for CFC and all of this will add to the burdens its already under from the credit crunch. The plan is to run them out of business, the deal is done, the puts by the big players are in, get out now. CFC may survive but only post bankruptcy in a smaller less agressive form, leaving the playing field open for the other big players that paid wall street off to kill of the competition.
How classic is it that the guy pulling the $500,000 out was the President of Impact Mortgage who also went belly up!
In other words, he know's what's coming as he's seen it first hand
Yep...
I went out and bought a 42 inch Plasma last weekend for two reasons...
1) To watch football (Go Pats!)
2) To watch the economy fall apart
This is what I call reality TV..
I would cry all night long if some mortgage dirtbag in a Porsche with half a mil in just one bank lost his money. all night long
Countrywide just skyrocketed up 19pts when the Feds dropped the discount rate this morning.
We know things are really bad when the Feds make this kind of move.
Although the stock market is skyrocketing, it's just a temporary fix to a worldwide disaster.
Anxious customers jammed the phone lines and website of Countrywide Bank and crowded its branch offices to pull out their savings because of concerns about the financial problems of the mortgage lender that owns the bank.
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Who in their right mind would leave cash at CFC???!!!
Although the stock market is skyrocketing, it's just a temporary fix to a worldwide disaster.
August 17, 2007 2:59 PM
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when it dumps again in a few days, they will be totally shocked!
Fed rate going back to zero, anyone?
"Although the stock market is skyrocketing, it's just a temporary fix to a worldwide disaster."
Why? Who is going to stop them? The central banks can create all the money they need to pay off every penny of the debts. Of course some currencies will fare much better than others in the resulting revaluations. The guys on Wall Street earn their pay from transaction fees, so why should they care?
The whole damn thing is rigged. Just hope they don't outlaw transactions involving gold and silver...
why does FED bail out " bad loans etc" ??
why does FED bail out " bad loans etc" ??
Im crappin my pants, my cfc account is over the fdic limit!
If they live thru next week I should be ok.
Right on, brother... Cayman + $500K... Wonder where he'll be next week?
Bill Ashmore drove his Porsche Cayenne to Countrywide's Laguna Niguel office and waited half an hour to cash out $500,000, which he then wired to an account at Bank of America.
What an effing nut! He wires his $$$ from one worthless bank, to another. ROFLMAO
The irony is he wants "his" money safe.
I almost deposited my money in countrywide when i was in california a couple months ago, i decided not to because or the banks link or being owned by countrywide morgage. and, i was not sure what that could do to the bank, when all the forclosures skyrocket. didn't see them having to pull all their credit limits to keep operating! won't ever put money in them or indymac now!
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