And yes, this is not news.
BofA Takes Out Lows As Sheila Bair Says Servicers' Issues Could Be "Very Damaging", "More Problems" To Arise In Mortgage ServicingSubmitted by Tyler Durden on 10/25/2010 12:25 -0400
Finally the FDIC acknowledges the shitshow:
- BAIR: LITIGATION FROM SERVICER ISSUES COULD BE `VERY DAMAGING'
- BAIR SAYS FORECLOSURE PROBLEMS WILL REQUIRE `GLOBAL SOLUTION'
- BAIR: CRISIS REQUIRES `DECISIVE' ACTION FOR MORTGAGE SYSTEM
- BAIR: FDIC SECURITIZATION RULES `CONSISTENT' WITH DODD-FRANK
And the kicker:
- BAIR SAYS CRISIS REVEALED `CRITICAL FLAWS' IN MORTGAGE FINANCE
Oh, so there are flaws??? As a result, Bank of America takes out 10/20 lows
FDIC Responds To IndyMac/OneWest Video Alleging Sheila Bair Transferred Billions In Taxpayer Funds To Paulson & Co., And OthersSubmitted by Tyler Durden on 02/12/2010 19:44 -0400
A few days ago we posted "The Great Highway Robbery Continues: How the FDIC is Legally Transferring Billions in Taxpayer Money to Hedge Funds" which presented a clip by Think Big Work Small, highlighting what was seemingly a grand scheme to defraud taxpayers with the FDIC's complicity. Today, the FDIC strikes back, issuing a Press Release claiming the video contains "blatantly false claims", "perpetrates other falsehoods" and has "no credibility." The counterargument which is supposed to render all allegations of impropriety false: "OneWest must first take more than $2.5 billion in losses before it can make a loss-share claim on owned assets" and that "in order to be paid through loss share, OneWest must have adhered to HAMP." Unfortunately, reading between the lines of the response indicates that not only are the falsehoods actually truehoods, but the video is still, sorry Sheila, quite credible.
100: Partners Bank, Naples, FL
101: American United Bank, Lawrenceville, GA
102: Hillcrest Bank Florida, Naples, FL
103: Flagship National Bank, Bradenton, FL
104: Bank of Elmwood, Racine, WI
105: Riverview Community Bank, Otsego, MN
As you watch the bobbing metronome of Sheila C. Bair's head during this video ("...but as I said [left tick] we have the ability to immediately access [right tock] up to $500 billion from our Treasury line [left tick]...") wonder to yourself quietly:
- How is the FDIC going to slurp down another $500 billion without some roof rasing action on the debt ceiling?
- How can ANYONE promise that no insured depositor will ever (until the heat death of the universe) lose a dime?
Meanwhile, if anyone is spreading evil rumors about the FDIC, make sure to email email@example.com immediately.
Try not to get motion sick and vomit. Also, try not to vomit.
For readers curious to Sheila Bair's perspectives that caused Geithner's Tourette's outbursts last Friday, the Senate Committee on Banking, Housing and Urban Affairs is holding a hearing live now in which the FDIC chairman presents her views.
Multiple Choice Trick Question of the Day: Sheila Bair A) Does or B) Doesn’t Believe 500 Banks Will FailSubmitted by Benjamin N. Dover III on 07/24/2009 01:37 -0400
If you answered “C) Both of the above”, not only would you be correct, you'd have the logical reasoning skills required to be a decabox pundit on a respected financial news network.
When I wrote about this issue a week ago, I thought I was going to be called out for prognosticating gloom and doom as usual...Well, no such luck, in fact quite the opposite. Sheila Bair came out with some very scary words for depositors everywhere: