LoadedBanker

Worrying About Large-Deposit Bank Runs

Dixie's pretty close to the truth. One also wonders how a liquidity crisis occurs at a thrift - which like most thrifts - that is supplied liquidity by the FHLB. So sure, if Treasury twists some arms and FHLB shuts off the spigot, they can create a liquidity crisis wherever they like. Funny how they're opening the discount window and various other facilities with unlimited funds for some institutions, but not others. And, nice job "stabilizing the industry" Paulson. Now Wachovia, NatCity, and who knows which other banks are going into the tank now that you've shown you're willing to wipe out all equity AND debt holders so you can hand a gift to one of your pals.

Predatory Banking Practices Undermining the U.S. Consumer

I think your interests are actually quite aligned with the bank, Thomas. You're concerned about people being able to pay their mortgages, and so is the bank! In fact, that's exactly why they pay the largest amount FIRST - so your mortgage payment goes through even if your 40oz King Cobra debit transaction doesn't. Now, you can't have it both ways, you either want people's mortgages paid or you don't.

PS: Half of your face is falling off, you might want to get that checked out.

Predatory Banking Practices Undermining the U.S. Consumer

Two words: Total Crackpot