Regulators Tell Banks To Lend – “Prudent Lending Will Not Be Criticized” The FDIC is encouraging banks under its supervision to increase lending to small businesses. In a recent Financial Institution Letter, the FDIC highlights reasons for the decline in lending to small businesses as well as the rationale for banks to lend more aggressively. […]
FDIC Bair Slaps Down Bernanke – Says Low Interest Rates Incited Financial Crisis
January 19, 2010 By Leave a Comment
Financial Meltdown Fueled By Misguided Fed Policies In an appearance before the Financial Crisis Inquiry Commission, FDIC Chairman Bair testified on behalf of the FDIC on the causes of the worst financial crisis since the Great Depression. Since the financial meltdown of 2008, many financial analysts and government officials have given eloquent after the fact […]
FDIC Restricts Private Capital Investments In Failed Banks
July 2, 2009 By Leave a Comment
Qualified Buyers Only Despite 52 failed banks in 2009 and many more to follow, Sheila Bair, FDIC Chairman, has wisely chosen to restrict private capital investments in failed banks to qualified buyers only. In mid May of this year, Ms. Bair had made the following comments: I am particularly concerned with new owners’ ability to […]
FDIC Lists Root Cause For Failed Banks – Lax Regulation
June 16, 2009 By Leave a Comment
FDIC Supervisory Insights The FDIC released the Supervisory Insights report today, detailing the costs and causes of the banking crisis. It should not come as a surprise to anyone that the FDIC’s list of factors that caused the banking crisis center on the abandonment of traditional sound lending standards. The FDIC report does not struggle […]