Schumer causes 2nd largest bank failure in US hist

[chatolandia]

Re: Schumer causes 2nd largest bank failure in US

This reminds me of Oprah and the Beef council...


they are in big trouble, but then when someone points it out, it's THEIR fault...

 

[Inwood]

Re: Schumer causes 2nd largest bank failure in US

If everybody who panicked and closed their account(s) and/or withdrew money, participating in the run that drained $1.3 billion in liquid assets from the bank had not done so, the bank wouldn't have failed like this.

Senator Schumer should resign his office in disgrace.

The Democrats are now beginning to destroy American companies.

Really, now. Next you'll be telling me the Democrats are the reason why China and India are gobbling up oil and driving up the price over the past two years form $50 to nearly $150 a barrel.

Perhaps it was the Democrats who were responsible for Enron? Let's try to tie WorldCom around their neck too. Oh yeah, don't forget the state of the airline industry, global warming and September 11.

You're hysterical, and I don't mean that in the humorous sense.

 

[iman]

Re: Schumer causes 2nd largest bank failure in US

And it's the weatherman's fault that it is going to rain tomorrow.

 

[chatolandia]

Re: Schumer causes 2nd largest bank failure in US

Yeah, because he said it!


I mean, I live in NY and had no idea Chuck Schumer had that much POWER in the investment community.

I hope he uses it for good, and not for evil, like someone I heard off, that used to help Enron...

 

[JayHawk]

Re: Schumer causes 2nd largest bank failure in US

Simply because Shumer said that it would fail and he is in the investment capitol of the world is no reason to think he has any effect. What proof do you have that they pulled their money out because he said what he did besides the fact that they weren't pulling out their cash until he spoke up? I mean really. He is a democrat and a politician, he must know much better what we should be doing with our money.

 

[tmb1]

Re: Schumer causes 2nd largest bank failure in US

Senator Schumer should resign his office in disgrace.

And maybe you should resign your membership with some of the crazyass disgraceful posts you put on here!

 

[Za-Ja-BoManner]

Re: Schumer causes 2nd largest bank failure in US

I love this "blaissez-faire" idea that if no one talks about problems in the economy and industry then the problem will go away; and whomever talked about it is to blame for the failure...what a load of bull****

 

[MrWright]

Re: Schumer causes 2nd largest bank failure in US

Now this is a rarity but Justmeee is in many ways very right. Now I'm not blaming the whole thing on Schumer or asking for his resignation but its a matter of how people perceive market changes. George Soros is a famously liberal economist and his theory regarding peoples perceptions of wealth affecting fluctuations in wealth and cost applies to this situation completely. By stating that the bank will fail you scare people into a mass withdrawal that makes the bank fail. It's better to quietly take actions to stop the bank from failing.

 

[LaloGS]

Re: Schumer causes 2nd largest bank failure in US

They were in trouble before Schumer began his campaign to destroy the bank.

But he loaded the anvil that broke the camel back.

The bank could have survive if he didnt panic depositers into removing 1.3 BILLION dollars.

The removal of the money caused the bank to fail.

Maybe his warnings saved a lot of people's investments if the bank was in over its head and shaky to begin with, maybe Schumer was helping private investors instead of the usual Repuglican shit of protecting the criminal corporations from exposure. You need to read up on your chosen party and how corrupt it actually is before you go throwing stones in glass houses.

 

[levenshulme31]

Re: Schumer causes 2nd largest bank failure in US

But he loaded the anvil that broke the camel back.

Oh that's my new favourite saying. Please tell me that you were being witty (rather than fuckwitty).

 

[JayHawk]

Re: Schumer causes 2nd largest bank failure in US

It is amazing that pundits will defend the D to the point that obvious connections are ignored.

Shumer was not to blame for Indy Mac being in the shit river.

He simply took away their paddle.

 

[Jannus]

Re: Schumer causes 2nd largest bank failure in US

A regulator points out that a bank is insolvent, and it's the regulator's fault that the bank is insolvent?

What twisted logic is ruling America these Days?

Aren't regulators supposed to point out these things? Did not the bank have any obligation to its shareholders to keep to sound business management practices?

 

[naked gent]

Re: Schumer causes 2nd largest bank failure in US

Now Federal regulators are agreeing with me.

Let see if people will listen to me now.

The federal regulators seem to be saying better regulation or more regulation would have prevented this from happening.

Is that what you're asking for justmeee....more government regulation?

 

[construct]

Re: Schumer causes 2nd largest bank failure in US

Well, the news caused me to buy another half ounce of gold today. If the economic news keeps going the way it has been, I'll turn into a gold bug for sure.

 

[jackoroe]

Re: Schumer causes 2nd largest bank failure in US

I was talking to my other half about this over coffee this AM. Seems that IndyMac was writing a great many shaky mortgages. Things like "stated income' requiring no documents to verify your income and some other less than solid lending practices.

I'm not surprised this happened. When you don't have solid foundations on which to make loans, don't be surprised when your house of cards collapses. And, I gotta disagree with the OP's premise. It was IndyMac's poor business practices that got them jammed up. Schumer does plenty of stupid things. This is not one we can blame him for.

 

[JayHawk]

Re: Schumer causes 2nd largest bank failure in US

Get a credit score above 720 and "No-Doc" loans are quite common. After a certain point your name means something. I havent showed anything more than a ID card for my mortgages in the past ten years.

Not saying IndyMac didnt have shakey practices. I dont know enough to make that conclusion. I do know that everyone withdrew their money from that particular investment when Shumer squawked. Let's see him take on Ocwen, Countrywide and Wells Fargo and I will say he has some sort of standard. He does not. He saw a place to make his name stand out so he did. Just about every other half baked mortgage company out there is doing the same business. If someone with a big enough voice were to scream the sky is falling then that company would fail also.

My advice. Beyond Chuck Shumer's attempt to make himself a hero is to look at banks like Fifth Third.

I am biased because it is my bank. However think about this. 5\3 made money during this mortgage shitstorm because they have standards.

 

[naked gent]

Re: Schumer causes 2nd largest bank failure in US

If everybody who panicked and closed their account(s) and/or withdrew money, participating in the run that drained $1.3 billion in liquid assets from the bank had not done so, the bank wouldn't have failed like this

That is not at all what it is saying.

As I pointed out in the foreign language thread.

The nation needs better reading comprehension skills.

Pardon me if my reading comprehension skills are not up to snuff but if I understand the highlighted part of your beginning post correctly you contemplate the bank failing had Schumer remained silent.

That being the case I was wondering if you believed more regulation would have avoided this entire mess.