FDIC Seizes WaMu tonight

[democrat2thecore]

The FDIC seized the banking assets of Washington Mutual today and agreed to a quick buyout by JP Morgan Chase.

Economic chaos as McCain implodes as the "savior."

http://biz.yahoo.com/ap/080925/washington_mutual_future.html?.v=5

[Barack_America]

1. Atta boy, McCain!

Atta boy.

[whistle]

3. This still is no bailout plan in effect to impact this correct?

[whistle]

2. I'll bet that was a sweetheart deal for JP Morgan and WaMu executives

...We ought to get Congress to run the numbers on that set of transactions.

[TexasObserver]

4. That is how it is usually done. FDIC seizes, arranges bank buyer, and it happens overnight.

[Teaser]

5. Yes, but apparently they bought *none* of Wamu's liabilities?

How does that work? I'd love to buy a house without buying any of the debt on it...

[Patsy Stone]

6. I think

it's because the debts were in the holding company, Washington Mutual, FSB; and they bought Washington Mutual, Inc. There are real assets, so they bought the branches and the deposits, but the holding company is left to fail.

And, no questions please. It's just a guess, and I don't even play a financier on TV. :)

[L0oniX]

7. DOH ...so I already have 2 Chase credit cards and a WaMu card...

which will now turn into another Chase card. Time to cancel a WaMu credit card.

[Condem]

8. My mortgage holder.

[ddeclue]

9. Holy crap!

I was just telling my mom on the phone that this was likely to happen (she was a banker for 25 years).

I also told her that Wachovia (where I bank) was also in trouble... I hope it doesn't go down too...

Doug D.

[1corona4u]

11. Wachovia is fine, for now.

However, 55% of their money is in core deposits. I am keeping an eye on them too.

[Fleshdancer]

10. LARGEST bank failure in US history.

We can have a healthy debate on what to do about our economic future, but we can't deny there is something seriously wrong.

[Sebastian Doyle]

12. Too bad it wasn't Bank of America

If a big bank is going to fail, I'd rather it was a bunch of assholes like BOfA, than a relatively decent company (at least to their bank customers) like WaMu. I don't have a lot of love for Morgan Chase either, so it's a good thing I closed my WaMu account last year and moved to a credit union.

[Johonny]

14. yah

I had to move my money over to Bank of AMerica and I dislike them compared to WaMu. I hope this saves WaMu so I can go back to banking with them.

[Tatiana]

13. Heckuva job, McCainie! n/t

[RobertSeattle]

15. Took a screenshot tonight and cropped it..