Move Your Money

[Alex]

During the last 2 months I've completely transfered from one of the "too big to fail" to a local bank. How fitting is it to see this video and site gaining popularity: https://moveyourmoney.info

 

[BwanaDik]

I grow my money by using Ma and Pa Kettle as my accountants

 

[wfooshee]

My community bank I've been with for 11 years, and which has existed for over 20, just failed. . . Acquired by another community bank from another state, though, so still not a "Big Bank."

 

[08FJR4ME]

I did a search for a local bank and it came of empty. Ime thinkin that's not good.

 

[racer]

I was just notified today, a second California bank that I've had a large CD at, has been seized by the FED. The first one was seized last January, now this one. No problems with getting my money back, FDIC has come through, so no money has been lost.

The FDIC is hiring 1600 additional employees and the word on the street is, it's to handle a large number of bank seizures next year. Lots of small banks are going to go belly up in 2010. Hang on, it's going to be a rough ride.

 

[JR'SFJR]

Have CD's in 3 banks and all went bellyup. Glad for FIDC.

 

[wfooshee]

It seems the FDIC is tightening everybody's belts. I really really hope that's not actually motivated by something coming out of the "Big Banks." Obviously there's a real glut in car loans, business finance, foreclosed property that can't be marketed, things like that, which larger organizations might absorb more readily, but I would think that if things were evenly spread across the board, larger institutions would be just as insolvent as smaller ones. In other words, Citibank (not naming names, just theoretical examples) should have about the same percentage of uncollectible loans and failed investments as Third County Bank of Bumfu&&, one would think.

 

[airboss]

Bank with a local, total of 15 stocker holders, all descendent's of the bank's founder. All but two of the stock holders live here in the county. This institution never bought into free (loan) money lending practices, and has been rated as one of the strongest independent banks in the state.

Remember the owners are local people, and if they were to lose our money...........................We know where they live.

 

[ShinyPartsUp]

Don't just think banks. I belong to a Credit Union that is local to southern oregon. Good rates, personable service, small and responsive to members. Insured as well by the feds and I like the small town feel when I walk in or telephone. I know the tellers by name (one races dirt bikes) and they don't ask for my ID anymore, they just say "Hi Mike, What do you need?". I've been a member since 1995, but put my main money into it 8 years ago when I got tired of rediculous fees from Wells Fargo and a large regional bank. I've never looked back.

 

[vabrzn]

Don't just think banks. I belong to a Credit Union that is local to southern oregon. Good rates, personable service, small and responsive to members. Insured as well by the feds and I like the small town feel when I walk in or telephone. I know the tellers by name (one races dirt bikes) and they don't ask for my ID anymore, they just say "Hi Mike, What do you need?". I've been a member since 1995, but put my main money into it 8 years ago when I got tired of rediculous fees from Wells Fargo and a large regional bank. I've never looked back.

+1 Virginia Credit Union

 

[LDRydr]

I'm speaking from experience here folks, my wife was the Sr. VP and Controller for a locally owned small bank that was among the first to fail in the present crisis. The crisis is far from over, and credit unions fail just like banks, including 14 so far this year (LINK). And to clarify, the FDIC does not close banks, the local state banking officials do.

The scene at her bank on Friday Jan. 16th was a sight to behold. Some 80 FDIC employees, contractors, and police formed up in the parking lot that evening, and at 6pm sharp they stormed the bank. Police were on hand to keep a mob from forming of the people they thought surely would cause a run on the bank. The run actually had already happened earlier in the week as rumors spread that the closure was imminent. This is the reason they NEVER disclose ahead of time about a bank closure. Over the course of the weekend computer hard-drives were copied, interrogations took place, and records were searched and removed. If you want to know EXACTLY what happens during a bank closure THIS STORY on PBS's All Things Considered is about our bank.

Our bank was locally-owned, started up by local small business owners. We owned stock in the bank, as did a number of our friends and other bank employees. The stock became worthless on the closure date, and we won't see a penny of it.

FYI, I believe the current number of failed banks for 2009 YTD is 140. A list of them is HERE. Big bank can fail, small banks can fail, and credit unions can fail.

Now for the juicy stuff. Wanna know if your bank is likely to be next? Check HERE for a list of troubled banks. The list is unofficial, since the FDIC does not publish their list.

Bottom line? Don't keep more than the FDIC (or NCUA) maximum insured funds in any one account. There are rules about how the maximum amounts work (joint accounts, etc.). If you don't know for sure your funds are covered talk to your banker.

 

[zenwhipper]

I grow my money by using Ma and Pa Kettle as my accountants

Oh my... that is too funny! Thanks for that one.

... I'm still chuckling ...

:lol:

 

[CHRIS_D]

Wow In Georgia I stop counting the banks after I hit #60. That's a lot of banks that may be in trouble just in my state alone.

 

[ShinyPartsUp]

The crisis is far from over, and credit unions fail just like banks, including 14 so far this year
Big bank can fail, small banks can fail, and credit unions can fail.

Bottom line? Don't keep more than the FDIC (or NCUA) maximum insured funds in any one account. There are rules about how the maximum amounts work (joint accounts, etc.). If you don't know for sure your funds are covered talk to your banker.

I'm sorry about your personal experience.

I was merely sharing my personal experience with the institutions I have had dealings with. Of course any size bank/CU can fail (except a mega-financial I guess). I did not say or intimate my small credit union cannot fail -- I'm not sure where you got that sense. I merely like the fact it is insured (to amounts far in excess of anything I will ever have to worry about), and the CU is friendly in policies and personnel.

I will add here it is not as profit driven as commercial banks, not as aggressive in it's practices, and rates/fees are consistently better than commercial financial institutions in the area (that I know of). Some of the bells and whistles are missing, but they are always helpful and the bureaucracy is minimal. One of the board members (they are voted on by the membership) works at my workplace and has the office next to me.

All that said, your last advice is the best. Be aware and do research so informed financial decisions can be made.

 

[CRMH Eagle]

It's just a part of a slowing economy to see banks fails. A bank is a business just like a retail store, service center, professional service office, etc. A lot of people freak out when the media highlights a failed bank. But they really don't care when a name-brand retail store goes under. Think about it... a bank is just a business.

Now that China has replaced the US as the major manufacturing center in the world (and this is our fault by the way) it's economy is going to be growing and growing while the US's economy will struggle the next few years.

True is the saying that communities/countries that can make stuff (manufacturing, farming, service development) will be at the forefront of the economy.

The failed banks in the US is of very little significance compared to the fact China now controls the global economy.