"Bank failures to surge in coming years" - so where can you put your money? (parade, companies)

[HappyTexan]

Originally Posted by texdav

There was no truble getting money when the banking crisis happened in the 80's I believe it was. The Federal Deposit Insurnace Corporation covered everyhting.I personally don't thnk thsio will get that bad. I remember then many banks and credit unions went under and many home buiders went under than the bank holding their mortgage went under and the feds took control of many new homes. My nephew bid on one that was appraised at 350,000 and got it for 210,000 and the feds came in and fixed evrything that showed age form the year it was empty.He said that was the best buy in a home he ever got and he has owned like five ;moving with his job.

If this was the S&L crisis then that was FSLIC that covered them, not FDIC.
And FSLIC had to be bailed out to cover all the loses. FSLIC exists no more.

[Philosophizer]

Originally Posted by rlchurch

The FDIC is a government corporation back by the full faith and credit of the United States. Bank deposits, not more exotic service offered today by many banks, are perfectly safe up to $100,000 per account.

how's that kool aid taste?

[ViewFromThePeak]

[harborlady]

Fact remains, if FDIC fails, your money is worthless anyway, so no point worrying beyond 100k guidelines.
you can always check out new commemorative coin investment thread

[lilypad]

Do you have that link, harborlady? My dad always recommended buying gold and silver, as he has over the years. And now looking into metals vs. other investment/retirement tools.

[rlchurch]

Originally Posted by TexianPatriot

how's that kool aid taste?

Sky falling where you live?

[Submariner]

Originally Posted by harborlady

Fact remains, if FDIC fails, your money is worthless anyway, so no point worrying beyond 100k guidelines.
you can always check out new commemorative coin investment thread

I do not see the FDIC 'failing'.

Rather when it says that your deposits are 'insured' up to $100k, it does not say that the insurance will replace the money dollar for dollar. That is what folks assume. They assume a dollar for dollar replacement. It is at the discretion of the FDIC as to what ratio they will use, which is dependant upon how much money is placed into the FDIC general fund.

By the FDIC being underfunded, they may only have enough money to pay out 10cents on the dollar, for every dollar on deposit.

The FDIC will not 'fail', it will simply limit the ratio at which it pays; if you had a catastrophic banking failure.

[GregW]

Wow - an insurance systen that can deternmine how much it will cover is not insurance at all. It is a fraud.

[ViewFromThePeak]

FDIC is a Tony Robbins moment with banks, and little more.

Helicopter Ben will make sure FDIC "works" as he'll print enough money to make sure that everyone gets paid back their insured amount.

Of course, the purchasing power ain't gonna be all that great.

Don't forget that you'll be waiting for the money while your claim goes through.

[texdav]

In the ned banks are not really in that bad of a shape compered to teh 80's even. But some as alwasy will panic. Ron Paul suporters seem to be in qite a panic but that is understandable since he has gone by the wayside.