Archive for the ‘Indymac’ tag
Regulators Hasten to Assure Depositors that their Money is Secure as IndyMac is put into Receivership
Federal regulators and Bush Administration officials spent the weekend
reassuring bank depositors nationwide that their
deposits are secure and, as the ads say, insured by the Federal Deposit
Insurance Corporation (FDIC).
The public information campaign was launched to quiet fears that were
stoked by the failure of California-based IndyMac late
Friday. IndyMac, with total assets of $32 billion, became the third
largest bank to fail in U.S. history and its collapse is expected to
cost the bank insurance fund between $4 billion and $8 billion.
Regulators fear that depositors concern about their money will
spread to other banks hard-hit by the mortgage
crisis…
IndyMac Faces Bank "Run"
After announcing on Monday that it would shutter its mortgage lending
operations but continue business as a retail bank,
IndyMac was hit on Tuesday by a potentially fatal blow
to that part of its business as well.
Bank depositors rushed to withdraw money from the
bank…
IndyMac Joins Roster of Banks to Fold its Mortgage "Tent."
IndyMac has announced that, effective yesterday, it
is closing both its wholesale and retail production channel and will no
longer accept any new mortgage loan submission or rate locks. It will
also reduce its workforce to around 3,200 from the
current level of 7,400. The bank will also, apparently, continue its
other retail banking operations.
The stock had reached $.71 cents Monday after trading as high as 31.32
in the last year and was delisted from NASDAQ.