Anyone with savings in the bank is painfully aware of the fact that they are receiving only slightly more income than someone who keeps their savings under the mattress. In an attempt to stimulate credit demand by lowering interest rates to near zero, the Federal Reserve has effectively guaranteed negative returns to savers after taking […]
Owning Bank Stocks Might Be Better Than Keeping Cash In The Bank
December 6, 2012 By Leave a Comment
The financial meltdown that began five years ago resulted in widespread financial devastation for millions of Americans. Retirement and stock portfolios were decimated while real estate values declined by 50% or more in many parts of the country. The American middle class was shocked as trillions of dollars of wealth suddenly disappeared. The collapse of […]
Bank Earnings Soar To Six Year High But Bank Stocks Still Off 50% From Pre Crisis Levels
December 4, 2012 By Leave a Comment
According to the latest FDIC Quarterly Banking Profile, the banking industry recorded its 13th consecutive quarterly year-over-year increase in profits. Total net income for all FDIC-insured institutions rose to $37.6 billion in the third quarter of 2012, a 6.6% increase from the third quarter of last year. Most of the increase in net earnings were […]
Mortgage Borrowers Pay Thousands In Excess Fees Due To Complex Bank Pricing
December 3, 2012 By Leave a Comment
Few people wonder if they got the best price on that newly purchased 65” HDTV. Transparency in retail pricing through technological advances has enabled consumers to quickly locate the retailer selling a product at the lowest cost. A few quick clicks on the web or the use of price comparisons apps such as Amazon’s “Price […]
Banks Are Powerless Against The Biggest Threat To The Financial System
November 28, 2012 By Leave a Comment
Just when it appears that the banking system is beginning to stabilize, a new ominous threat to financial stability has become a serious concern among the nation’s top bankers. In a speech at a Berlin conference, Dennis Lockhart, President of the Federal Reserve Bank of Atlanta, talked about the serious threat of cyber attacks against […]
Hometown Community Bank, Georgia, Closed By Regulators
November 16, 2012 By 1 Comment
Hometown Community Bank, established at the peak of the real estate lending mania in 2005, was closed today by the Georgia Department of Banking and Finance. The FDIC, acting as receiver, protected depositors by selling the failed bank to CertusBank, National Association, Easley, South Carolina, which will assume all deposits of Hometown Community Bank. According […]
The FDIC Will Eliminate Deposit Insurance On $1.4 Trillion Of Bank Deposits
November 6, 2012 By Leave a Comment
In the aftermath of the banking meltdown that began in 2008 many large depositors with balances in excess of the standard deposit insurance limit of $250,000 became very concerned about losing money in a bank failure. In an effort to instill confidence in the banking system, the Dodd-Frank Act instituted temporary unlimited deposit insurance on […]
Citizens First National Bank, IL, Founded In 1865, Closed By Regulators
November 2, 2012 By 1 Comment
One of the country’s oldest banks, Citizens First National Bank, Princeton, IL, was closed today by the Comptroller of the Currency. The FDIC, acting as receiver, sold the failed bank to Heartland Bank and Trust Company, Bloomington, IL. Citizens First National, a large bank with 21 branches and almost $1 billion in assets, becomes the […]
Heritage Bank of Florida Closed By Regulators
November 2, 2012 By Leave a Comment
Heritage Bank of Florida, Lutz, Florida, was closed today by the Florida Office of Financial Regulation and the FDIC was appointed as receiver. The failed bank was taken over by Centennial Bank, Conway, Arkansas, under a purchase and assumption agreement with the FDIC. Heritage Bank of Florida, which was established on August 3, 1999, had […]
Secrets of The Federal Reserve Visually Explained
October 29, 2012 By Leave a Comment
The Federal Reserve has virtually unlimited power over the economic future of America yet few people know much about it. Is the Fed saving or destroying America? Here’s a neat history of the Federal Reserve published by Mint.com. by Mint.com.Learn about infographic design.