WaMu Still Broke

On Friday, going to the bank still known as Washington Mutual (WM), to assemble a cash pile for onward transmission to a private investment opportunity. Having deposited a check drawn on a neighboring institution, my eyes were drawn to the ‘Exception Hold Notice’ immediately below the transaction summary, noting the proposed release schedule:

• T+0 (Oct. 3) 0.2 percent

• T+2 (Oct. 7) 9.8 percent

• T+8 (Oct. 15) 90 percent

“System holds, can’t do anything about that,” said the pleasant teller chappy, returning from the office in which the once free-ranging branch manager has recently taken to hiding.

No Jamie, being too-big-to-fail doesn’t mean you get to abuse my money for the best part of two weeks. Transaction reversed. And JPM added to Thursday’s shopping list.

Comments

[Jimmy Lathrop:]

Are you suggesting that you received poor customer service from a JayPeeWaMoo representative? Well I sir am SHOCKED, absolutely appalled. I tried to leave a message with Mr. Dimon but a voice mail message recording told me his mailbox was full. Full of your fees and X holds I presume. Has the President been briefed? I understand he's still worn out from his Olympic Vacation but the team needs him.

2008 Oct 08 07:43 AM

[Ishortyou:]

Put your deposits in Wachovia better service.

2008 Oct 08 08:07 AM

[Every Other...:]

We hold your deposited items too.

2008 Oct 08 08:57 AM

[helplessobs...:]

Join a Credit Union, no problem withdrawing money from them.

2008 Oct 08 10:46 AM

[Richard Col...:]

How will the economy ever come back if all these idoits do is bad mouth American Corporations. We need more positive thinking people giving advice instead of these clowns who do nothing except join the mob in downgrading and bad mouthing .
Dan Kowkabany

2008 Oct 08 10:55 AM

[sumosama:]

W3, I applaud your passion, but have your elected officials and news media do what exactly? Reverse the buyout? I agree that WaMu was an attractive target for the reasons you list, but what are those folks to do?

2008 Oct 08 01:18 PM

[dixie:]

The FDIC wanted to freighten Congress two weeks ago to quickly approve the $700 billion bail out for big banks, like JPM.

JPM needed a capital infusion. So voila, seize WM on Thursday night at gunpoint, and give the loot to JPM, thus creating a win-win for the FDIC and JPM. Tough luck to the shareholders. After all this is the New World Order.

Where were the "competitive bids" that the Office of Thrift Supervision refers to? Who were these other bidders?

2008 Oct 08 08:38 PM

[Wamook:]

Washington Mutual is not broke. 32 billion in assets is to be decided and checked by the bankruptcy court. 5 billion in cash is on deposit at the bank now operated by JPMorgan Chase. This is plain and simple. JPM is profiteering on this crisis. The whole financial climate was bad. There is a portion of that 32 billion that's listed as equity in the bank. But I'm betting it wasn't 32 billion. There is a financial crisis going on in the country and in the world. The future is looking very bleak. This move by JPM&C makes it a lot worse and a lot more lasting for a lot more people here in this country. A very few large depositors moving their money toppled this bank. JPM used the countries financial crisis as a smoke screen for a mugging.

They chose this outcome so they could write a bigger number in their books. And they have not thought what it will do to the over all picture for the country and for the world.

2008 Oct 09 12:38 AM