In An Attempt To Reliquify Economy, FDIC Starts To Retroactively Pay Tens Of Thousands Of Dollars To Depositors In Failed Banks
Nothing like the US government bailing one out for the stupidity of investing in a ponzi kabal. Earlier today, the FDIC decreed that it would increase deposit insurance for depositors in banks that failed in 2008 in the states of MO, AR, CA, FL, KS and NV. As a result of this action, 9,500 depositors would end up receiving between ten and hundred and fifty thousand dollars, courtesy of a retroactive increase in the "maximum deposit insurance amount to $250,000." The rule was made retroactive beginning January 1, 2008. Pretty soon, all money ever lost, be it in bankrupt banks, or in bed investment will be recoupable, as the administration does everything it can to get some cash - any cash - in the hands of Joe Sixpack.
From the FDIC:
The Dodd-Frank Wall Street Reform and Consumer Protection Act signed into law by President Barack Obama today permanently raised the maximum deposit insurance amount to $250,000. In addition, the Act made this increase retroactive to January 1, 2008.
The provision making the law retroactive means that the $250,000 deposit insurance amount applies to banks that failed between January 1 and October 3, 2008. These insured institutions are:
* Hume Bank, Hume, MO
* ANB Financial, N.A., Bentonville, AR
* IndyMac Bank, F.S.B., Pasadena, CA
* First Priority Bank, Bradenton, FL
* The Columbian Bank and Trust Company, Topeka, KS
* Silver State Bank, Henderson, NV
This retroactive increase has reduced the number of uninsured depositors at these failed institutions from more than 10,000 to approximately 500.
For those readers lucky enough to be among the lucky winners in this particular round of the Obama lottery, you can get more details here.