It was a tough weekend for me. On Friday I received an e-mail from “Bank of America” saying that my account was locked, and that “During our regular update and annual scheduled maintenance of Bank of America Online Services, we could not verify your current information. As a result of this, your access to use our online services has been limited. You are hereby advised to immediately update your information by using the attached website.” What was I going to do? I wouldn’t be able to shop for Christmas presents, buy food or gas, and care for my kids! Then I remembered that I don’t even bank with BofA, and certainly don’t use any of their online services. Phew! I wonder if this was a scam…
Wanna buy a bank? Now is a good time to give that someone special a little something special – like a failed bank. Seven U.S. banks were taken over on Friday, and the FDIC could not find buyers for three of them. It brings the total to 140 for the year, the most since ‘92. Heck, even ex-IndyMac (now OneWest Bank) picked up the assets and 39 branches of First Federal Bank after it was closed Friday. OneWest was formed by a group of private equity and hedge fund investors to take over IndyMac’s assets earlier this year. Added to the list of banks this year who have experienced deteriorating loan portfolios and related liquidity and capital issues are Imperial Capital Bank of La Jolla CA, Peoples First Community Bank of Panama City FL, New South Federal Savings Bank of Irondale AL, Independent Bankers’ Bank of Springfield IL, RockBridge Commercial Bank of Atlanta GA, and Citizens State Bank in New Baltimore MI. City National Bank bought assets of Imperial Capital, Beal Bank bought the assets of New South, and Hancock Bank bought the assets of Peoples First Community Bank. The other three: zip.
PMI, well-known mortgage insurance company, tweaked their “Distressed Markets List”, although it doesn’t take effect until February.