Friday, 24 May 2013

Connect


Recommended Reading

Donald E. Hester

The FDIC has you covered, right?

by Donald E. Hester
Donald E. Hester
Husband, father, and adventurer. A computer science instructor who dabbles in t
User is currently offline
 on Feb 18 in Current Events 0 Comments

  Money, coins, bills

I had a few people ask me if they should take their money out of the bank for fear that if a bank collapses they would lose all their money. I was not worried because the FDIC insures our money, right? 
 
The Federal deposit insurance protects the first $100,000 of deposits that are payable in the United States in 8,451 US banks. Of those banks $13.3 trillion in deposits are insured. This is the money that we have in the banks. How much does the FDIC have to pay out if a bank fails? The FDIC has, as of 3rd quarter 2008, $38 billion to pay out.
 
When people start saying millions, billions and trillions people go glassy eyed and I don't think they have a proper perspective. Lets look at all the zeros.
 
 
$100,000.00 deposit amount individually that is insured
$13,300,000,000,000.00 total amount of all accounts insured
$38,000,000,000.00 total amount of money FDIC has to pay out
$0.76 amount you would receive per $100 deposited, if the FDIC had to pay out on all accounts
                
 
It is true that not every bank would fail at the same time or ever.  Only a percentage of them would fail, right? Who knows. The numbers tell me that if there is a run on the banks we are all screwed.
 
I hesitate to mention that the Banks have exposure in derivatives (SIV, CDOs, CLOs, CBOs, CIOs, and CDOs of CDOs) of over $700 trillion. Lets see the zeros again: $700,000,000,000,000.00. Of that how much equity to the banks have? Less than 1%. Precarious hardly describes it.
 
Will this lead to a World Bank like the Federal Reserve on a global level? Who knows.
 
Check out Michael Lewis and David Einhorn, "The end of the Financial World as we Know it," New York Times January 4, 2009 and FDIC/IRA Bank Monitor, Q1 2008
Also
Tags: Government, Financial Collapse, Politics, Economics
Hits: 2405

About the author

Donald E. Hester

Husband, father, and adventurer. A computer science instructor who dabbles in theology and philosophy. A lover of science-fiction and related genres. Given to the spirits- paranormal and distilled. A bibliophile par excellence. A short description for a life the likes of which could fill the library of congress. I give you Donald E. Hester, excelsior!
http://www.unvarnishedblog.com

Trackbacks

Trackback URL for this blog entry

  • child care

    by child care on Monday, 29 November 1999
    The FDIC has you covered, right - Unvarnished ...

  • No credit check loans

    by No credit check loans on Monday, 29 November 1999
    The FDIC has you covered, right Unvarnished ...

  • Fast payday loans

    by Fast payday loans on Monday, 29 November 1999
    The FDIC has you covered, right Unvarnished ...

  • Weight Lifting cartoon

    by Weight Lifting cartoon on Monday, 29 November 1999
    The FDIC has you covered, right Unvarnished ...

  • payday loans

    by simplifiedpaydayloans.co.uk on Monday, 29 November 1999
    The FDIC has you covered, right? - Unvarnished ...

  • fat loss factor review

    by katepro3.297m.com on Monday, 29 November 1999
    The FDIC has you covered, right? - Unvarnished ...

  • happy birthday greetings

    by birthdaygreetings3.blogspot.com on Monday, 29 November 1999
    The FDIC has you covered, right? - Unvarnished ...

  • birthday card

    by birthdaycards4.blogspot.com on Monday, 29 November 1999
    The FDIC has you covered, right? - Unvarnished ...

  • short love quotes

    by lovequotes12.blogspot.com on Monday, 29 November 1999
    The FDIC has you covered, right? - Unvarnished ...

  • happy birthday wish

    by bestbirthdaywishes2.blogspot.com on Monday, 29 November 1999
    The FDIC has you covered, right? - Unvarnished ...

  • poems about love

    by lovepoems4.blogspot.com on Monday, 29 November 1999
    The FDIC has you covered, right? - Unvarnished ...

  • best quotes

    by bestquotes5.blogspot.com on Monday, 29 November 1999
    The FDIC has you covered, right? - Unvarnished ...

  • sympathy quote

    by sympathyquotes2.blogspot.com on Monday, 29 November 1999
    The FDIC has you covered, right? - Unvarnished ...

  • http://www.univ-ares.com

    by on Monday, 29 November 1999
    Super fascinating entry ...

  • can my wages be garnished for a payday loan

    by can my wages be garnished for a payday loan on Monday, 29 November 1999
    can my wages be garnished for a payday loan ...

  • www.bestquotes123.com

    by www.bestquotes123.com on Monday, 29 November 1999
    The FDIC has you covered, right? - Unvarnished ...

  • extract green coffee

    by extract green coffee on Monday, 29 November 1999
    green kona coffee beans ...

  • les fenetres pvc

    by on Monday, 29 November 1999
    fen ...

  • Payday Loans

    by Payday Loans on Monday, 29 November 1999
    The FDIC has you covered, right? - Unvarnished ...

  • Payday Loans

    by Payday Loans on Monday, 29 November 1999
    The FDIC has you covered, right? - Unvarnished ...

  • Payday Loans

    by Payday Loans on Monday, 29 November 1999
    The FDIC has you covered, right? - Unvarnished ...

  • http://e.topratedpdloans.co.uk/

    by http://e.topratedpdloans.co.uk/ on Monday, 29 November 1999
    http://e.topratedpdloans.co.uk/ ...

  • loans for poor credit rating

    by loans for poor credit rating on Monday, 29 November 1999
    loans for people with poor credit rating ...

  • payday lending uk

    by payday lending uk on Monday, 29 November 1999
    payday lending database ...

  • payday loans

    by payday loans on Monday, 29 November 1999
    instant payday loans lenders ...

  • by on Monday, 29 November 1999
    ...

  • loans on the same day

    by loans on the same day on Monday, 29 November 1999
    http://tryquickloans24.co.uk/ ...

  • Bar Stools

    by Bar Stools on Monday, 29 November 1999
    The FDIC has you covered, right? - Unvarnished ...

  • prix abri de piscine couverture de piscine

    by on Monday, 29 November 1999
    http://www.devispiscine.mobi prix piscine beton prix abri de piscine abri de piscine ...

  • best way to lose weight

    by fat-loss-factor-review-2013.info on Monday, 29 November 1999
    The FDIC has you covered, right? - Unvarnished ...

  • climatisation réversible devis climatiseur

    by on Monday, 29 November 1999
    achat climatisation climatiseur split achat climatisation ...

  • short love poems

    by www.lovepoems1.info on Monday, 29 November 1999
    The FDIC has you covered, right? - Unvarnished ...

  • Bar Stools

    by Bar Stools on Monday, 29 November 1999
    The FDIC has you covered, right? - Unvarnished ...

  • comment faire un devis un devis

    by on Monday, 29 November 1999
    un devis définition rediger un devis comment faire des devis ...

  • Black Bar Stool

    by Black Bar Stool on Monday, 29 November 1999
    The FDIC has you covered, right? - Unvarnished ...

  • birthday wishes

    by birthdaywishes2.com on Monday, 29 November 1999
    The FDIC has you covered, right? - Unvarnished ...

  • best tablet pc

    by http://www.besttablet.info/ on Monday, 29 November 1999
    What a brat!! My spouse and i wouldn't even provide him anything at all. He must be thankful. He could at the least this and buy something effective like a golf ball. ...

  • saffron extract reviews

    by saffron extract on Monday, 29 November 1999
    Hey everyone, it's my first visit at this web site, and written piece will be genuinely fruitful suitable for me personally, continue posting these types of content. ...

  • Orange Bar Stool

    by Orange Bar Stool on Monday, 29 November 1999
    The FDIC has you covered, right? - Unvarnished ...

  • Green Bar Stools

    by Green Bar Stools on Monday, 29 November 1999
    The FDIC has you covered, right? - Unvarnished ...

  • Leather Bar Stools

    by Leather Bar Stools on Monday, 29 November 1999
    The FDIC has you covered, right? - Unvarnished ...

  • Contemporary bar stools

    by Contemporary bar stools on Monday, 29 November 1999
    The FDIC has you covered, right? - Unvarnished ...

  • Yellow Bar Stool

    by Yellow Bar Stool on Monday, 29 November 1999
    The FDIC has you covered, right? - Unvarnished ...

  • White Bar Stool

    by White Bar Stool on Monday, 29 November 1999
    The FDIC has you covered, right? - Unvarnished ...

  • Walnut Bar Stools

    by Walnut Bar Stools on Monday, 29 November 1999
    The FDIC has you covered, right? - Unvarnished ...

  • Retro Bar Stools

    by Retro Bar Stools on Monday, 29 November 1999
    The FDIC has you covered, right? - Unvarnished ...

  • Blue Bar Stools

    by Blue Bar Stools on Monday, 29 November 1999
    The FDIC has you covered, right? - Unvarnished ...

  • Red Bar Stool

    by Red Bar Stool on Monday, 29 November 1999
    The FDIC has you covered, right? - Unvarnished ...

  • subvocalize custom regenerate

    by on Monday, 29 November 1999
    http://www.fgv6.net/Migration-du-site.html mournful supporters ...

  • cheap auto insurance

    by cheapcarinsurance-2013.com on Monday, 29 November 1999
    The FDIC has you covered, right? - Unvarnished ...

  • payday loans UK

    by uk-paydayloans-2013.net on Monday, 29 November 1999
    The FDIC has you covered, right? - Unvarnished ...

  • Brown Bar Stools

    by Brown Bar Stools on Monday, 29 November 1999
    The FDIC has you covered, right? - Unvarnished ...

  • sad love quotes

    by www.100lovequotes.com on Monday, 29 November 1999
    The FDIC has you covered, right? - Unvarnished ...

  • life insurance rates

    by lifeinsurancequotesrates.com on Monday, 29 November 1999
    The FDIC has you covered, right? - Unvarnished ...

  • Payday Loans

    by Payday Loans on Monday, 29 November 1999
    The FDIC has you covered, right? - Unvarnished ...

  • life insurance

    by www.lifeinsurancequotes-123.com on Monday, 29 November 1999
    The FDIC has you covered, right? - Unvarnished ...

  • fat loss factor program

    by fatlossfactor-review.webs.com on Monday, 29 November 1999
    The FDIC has you covered, right? - Unvarnished ...

  • Wooden Bar Stool

    by Wooden Bar Stool on Monday, 29 November 1999
    The FDIC has you covered, right? - Unvarnished ...

  • fat loss factor program

    by fatloss-factor-review.weebly.com on Monday, 29 November 1999
    The FDIC has you covered, right? - Unvarnished ...

  • electronic cigarette review

    by electroniccigarettereview-2013.com on Monday, 29 November 1999
    The FDIC has you covered, right? - Unvarnished ...

  • life insurance rates

    by lifeinsurancequotes-rates.com on Monday, 29 November 1999
    The FDIC has you covered, right? - Unvarnished ...

  • http://www.youtube.com/watch?v=udJ-XEvIQ1I

    by garcinia cambogia on Monday, 29 November 1999
    Hi there! I just wish to offer you a huge thumbs up for the excellent information you have right here on this post. I'll be coming back to your web site for more soon. ...

Comments

Please login first in order for you to submit comments