Consumer Debt

Get used to this headline.  U.S. consumers fall behind on loans at record pace

According to the story Soaring U.S. unemployment and a shrinking economy drove delinquencies on credit card debt and home equity loans to all-time highs in the first quarter as a record number of cash-strapped consumers fell behind on their bills.

Delinquencies on the value of all card debt soared to a record 6.60 percent from 5.52 percent in the fourth quarter as more cardholders relied on plastic to meet day-to-day expenses, the American Bankers Association said.

Late payments on home equity loans rose to 3.52 percent from 3.03 percent, and on home equity lines of credit climbed to 1.89 percent from 1.46 percent.

The wasted trillions in the various stimulus and bailout packages are simply dragging this out in my opinion.  And today there’s talk that a second stimulus package is needed – are they freaking nuts?  If BoA and Citi and AIG and GM and Chrysler and (insert bailout recipient here) had been allowed to fail, other – solid – companies would be snapping up their assets at fire sale prices today.  And investors in those badly run companies would lose their money.  That’s the way it’s supposed to work.

Instead we’re taking money from smart investors and companies (via taxes) and propping up the bad ones.  And somehow most people – and economists – think this is a good idea.

News flash – most people and economists are simply partisan hacks, saying whatever they think will advance their political agenda.  And they’re wrong.

gk

Citi falls for Nigerian scam artist

CitiBank evidently isn’t aware of various Nigerian scams, because they actually fell for it.  No, I’m not making this up.  Here’s a link to all the details according to the NY Times.

Swindles in which someone overseas seeks access to a person’s bank account are so well known that most potential victims can spot them in seconds.

But one man found success by tweaking the formula, prosecutors say: Rather than trying to dupe an account holder into giving up information, he duped the bank. And instead of swindling a person, he tried to rob a country — of $27 million.

To carry out the elaborate scheme, prosecutors in New York said on Friday, the man, identified as Paul Gabriel Amos, 37, a Nigerian citizen who lived in Singapore, worked with others to create official-looking documents that instructed Citibank to wire the money in two dozen transactions to accounts that Mr. Amos and the others controlled around the world.

I know everyone has seen the Nigerian email scam spam, but who’d a thunk that Citi would fall for a more elaborate version of the scheme?  Maybe this is the real reason they need billions in bailouts?  🙂

gk

Updated bailout list

Since I last posted this list, there have been a few updates.  $1.9 trillion in new updates to be exact.  The grand total approved to be spent for the bailout programs is now up to $9.1 trillion, and we’ve actually spent $3.6 trillion – none of which we have, so it’s 100% borrowed or simply printed out of thin air.

This list is from CNN.com, but I think it’s easier to use in this format because you don’t have to expand subsections in order to find how much money your bank has taken from the government.

gk

Date	Bailout Name	Allocated	Spent
12/7/2008	Term Auction Facility	$1.6 trillion	$1.6 trillion
2/8/2008	Economic Stimulus Act of 2008	$168 billion	$168 billion
3/8/2008	Bear Stearns bailout	$29 billion	$29 billion
3/8/2008	Discount window	n/a	$131.9 billion1
5/8/2008	Student loan guarantees	$9 billion	unknown
9/8/2008	Fannie Mae and Freddie Mac bailout	$200 billion	$13.8 billion
9/8/2008	Foreign exchange dollar swaps	Unlimited2	n/a2
10/8/2008	FHA housing rescue	$320 billion	unknown
10/8/2008	Auto industry energy efficiency loans	$25 billion	$0
10/8/2008	Troubled Asset Relief Program	$700 billion	$276.3 billion
11/8/2008	AIG capital investment	$40 billion	$40 billion
	Breakdown of TARP spending
	Financial Institution	City	Amount
10/28/2008	Wells Fargo & Co.	San Francisco	$25,000,000,000
10/28/2008	JPMorgan Chase & Co.	New York	$25,000,000,000
10/28/2008	Citigroup Inc.	New York	$25,000,000,000
10/28/2008	Bank of America Corp.	Charlotte	$15,000,000,000
10/28/2008	Morgan Stanley	New York	$10,000,000,000
10/28/2008	Goldman Sachs Group Inc.	New York	$10,000,000,000
11/17/2008	U.S. Bancorp	Minneapolis	$6,599,000,000
11/17/2008	Capital One Financial Corp.	McLean	$3,555,199,000
11/17/2008	Regions Financial Corp.	Birmingham	$3,500,000,000
11/17/2008	SunTrust Banks Inc.	Atlanta	$3,500,000,000
11/17/2008	BB&T Corp.	Winston-Salem	$3,133,640,000
10/28/2008	Bank of New York Mellon Corp.	New York	$3,000,000,000
11/17/2008	KeyCorp	Cleveland	$2,500,000,000
11/17/2008	Comerica Inc.	Dallas	$2,250,000,000
10/28/2008	State Street Corp.	Boston	$2,000,000,000
11/17/2008	Marshall & Ilsley Corp.	Milwaukee	$1,715,000,000
11/17/2008	Northern Trust Corp.	Chicago	$1,576,000,000
11/17/2008	Zions Bancorporation	Salt Lake City	$1,400,000,000
11/17/2008	Huntington Bancshares	Columbus	$1,398,071,000
11/17/2008	First Horizon National Corp.	Memphis	$866,540,000
11/17/2008	TCF Financial Corp.	Wayzata	$361,172,000
11/17/2008	Valley National Bancorp	Wayne	$300,000,000
11/17/2008	UCBH Holdings Inc.	San Francisco	$298,737,000
11/17/2008	Umpqua Holdings Corp.	Portland	$214,181,000
11/17/2008	Washington Federal Inc.	Seattle	$200,000,000
11/17/2008	Provident Bancshares Corp.	Baltimore	$151,500,000
11/17/2008	Bank of Commerce Holdings	Redding	$17,000,000
11/17/2008	1st FS Corp.	Hendersonville	$16,369,000
11/17/2008	Broadway Financial Corp.	Los Angeles	$9,000,000
11/21/2008	First Niagara Financial Group	Lockport	$184,011,000
11/21/2008	HF Financial Corp.	Sioux Falls	$25,000,000
11/21/2008	Centerstate Banks of Florida Inc.	Davenport	$27,875,000
11/21/2008	City National Corporation	Beverly Hills	$400,000,000
11/21/2008	First Community Bankshares Inc.	Bluefield	$41,500,000
11/21/2008	Western Alliance Bancorporation	Las Vegas	$140,000,000
11/21/2008	Webster Financial Corporation	Waterbury	$400,000,000
11/21/2008	Pacific Capital Bancorp	Santa Barbara	$180,634,000
11/21/2008	Heritage Commerce Corp.	San Jose	$40,000,000
11/21/2008	Ameris Bancorp	Moultrie	$52,000,000
11/21/2008	Porter Bancorp Inc.	Louisville	$35,000,000
11/21/2008	Banner Corporation	Walla Walla	$124,000,000
11/21/2008	Cascade Financial Corporation	Everett	$38,970,000
11/21/2008	Columbia Banking System, Inc.	Tacoma	$76,898,000
11/21/2008	Heritage Financial Corporation	Olympia	$24,000,000
11/21/2008	First PacTrust Bancorp, Inc.	Chula Vista	$19,300,000
11/21/2008	Severn Bancorp, Inc.	Annapolis	$23,393,000
11/21/2008	Boston Private Financial Holdings, Inc.	Boston	$154,000,000
11/21/2008	Associated Banc-Corp	Green Bay	$525,000,000
11/21/2008	Trustmark Corporation	Jackson	$215,000,000
11/21/2008	First Community Corporation	Lexington	$11,350,000
11/21/2008	Taylor Capital Group	Rosemont	$104,823,000
11/21/2008	Nara Bancorp, Inc.	Los Angeles	$67,000,000
12/5/2008	MB Financial Inc.	Chicago	$196,000,000
12/5/2008	First Midwest Bancorp, Inc.	Itasca	$193,000,000
12/5/2008	United Community Banks, Inc.	Blairsville	$180,000,000
12/5/2008	Wesbanco Bank Inc.	Wheeling	$75,000,000
12/5/2008	Encore Bancshares Inc.	Houston	$34,000,000
12/5/2008	Manhattan Bancorp	El Segundo	$1,700,000
12/5/2008	Iberiabank Corporation	Lafayette	$90,000,000
12/5/2008	Eagle Bancorp, Inc.	Bethesda	$38,235,000
12/5/2008	Sandy Spring Bancorp, Inc.	Olney	$83,094,000
12/5/2008	Coastal Banking Company, Inc.	Fernandina Beach	$9,950,000
12/5/2008	East West Bancorp	Pasadena	$306,546,000
12/5/2008	South Financial Group, Inc.	Greenville	$347,000,000
12/5/2008	Great Southern Bancorp	Springfield	$58,000,000
12/5/2008	Cathay General Bancorp	Los Angeles	$258,000,000
12/5/2008	Southern Community Financial Corp.	Winston-Salem	$42,750,000
12/5/2008	CVB Financial Corp	Ontario	$130,000,000
12/5/2008	First Defiance Financial Corp.	Defiance	$37,000,000
12/5/2008	First Financial Holdings Inc.	Charleston	$65,000,000
12/5/2008	Superior Bancorp Inc.	Birmingham	$69,000,000
12/5/2008	Southwest Bancorp, Inc.	Stillwater	$70,000,000
12/5/2008	Popular, Inc.	San Juan	$935,000,000
12/5/2008	Blue Valley Ban Corp	Overland Park	$21,750,000
12/5/2008	Central Federal Corporation	Fairlawn	$7,225,000
12/5/2008	Bank of Marin Bancorp	Novato	$28,000,000
12/5/2008	Bank of North Carolina	Thomasville	$31,260,000
12/5/2008	Central Bancorp, Inc.	Somerville	$10,000,000
12/5/2008	Southern Missouri Bancorp, Inc.	Poplar Bluff	$9,550,000
12/5/2008	State Bancorp, Inc.	Jericho	$36,842,000
12/5/2008	TIB Financial Corp	Naples	$37,000,000
12/5/2008	Unity Bancorp, Inc.	Clinton	$20,649,000
12/5/2008	Old Line Bancshares, Inc.	Bowie	$7,000,000
12/5/2008	FPB Bancorp, Inc.	Port St. Lucie	$5,800,000
12/5/2008	Sterling Financial Corporation	Spokane	$303,000,000
12/5/2008	Oak Valley Bancorp	Oakdale	$13,500,000
12/5/2008	Old National Bancorp	Evansville	$100,000,000
12/12/2008	Capital Bank Corp.	Raliegh	$41,279,000
12/12/2008	Pacific International Bancorp	Seattle	$6,500,000
12/12/2008	SVB Financial Group	Santa Clara	$235,000,000
12/12/2008	LNB Bancorp Inc.	Lorain	$25,223,000
12/12/2008	Wilmington Trust Corp.	Wilmington	$330,000,000
12/12/2008	Susquehanna Bancshares Inc.	Lititz	$300,000,000
12/12/2008	Signature Bank	New York	$120,000,000
12/12/2008	HopFed Bancorp	Hopkinsville	$18,400,000
12/12/2008	Citizens Republic Bancorp Inc.	Flint	$300,000,000
12/12/2008	Indiana Community Bancorp	Columbus	$21,500,000
12/12/2008	Bank Of the Ozarks Inc.	Little Rock	$75,000,000
12/12/2008	Center Financial Corp.	Los Angeles	$55,000,000
12/12/2008	NewBridge Bancorp	Greensboro	$52,372,000
12/12/2008	Sterling Bancshares Inc.	Houston	$125,198,000
12/12/2008	The Bancorp Inc.	Wilmington	$45,220,000
12/12/2008	TowneBank	Portsmouth	$76,458,000
12/12/2008	Wilshire Bancorp Inc.	Los Angeles	$62,158,000
12/12/2008	Valley Financial Corp.	Roanoke	$16,019,000
12/12/2008	Independent Bank Corp.	Ionia	$72,000,000
12/12/2008	Pinnacle Financial Partners Inc.	Nashville	$95,000,000
12/12/2008	First Litchfield Financial Corp.	Litchfield	$10,000,000
12/12/2008	National Penn Bancshares Inc.	Boyertown	$150,000,000
12/12/2008	Northeast Bancorp	Lewiston	$4,227,000
12/12/2008	Citizens South Banking Corp.	Gastonia	$20,500,000
12/12/2008	Virginia Commerce Bancorp	Arlington	$71,000,000
12/12/2008	Fidelity Bancorp Inc.	Pittsburgh	$7,000,000
12/12/2008	LSB Corp.	Andover	$15,000,000
12/19/2008	Intermountain Community Bancorp	Sandpoint	$27,000,000
12/19/2008	Community West Bancshares	Goleta	$15,600,000
12/19/2008	Synovus Financial Corp.	Columbus	$967,870,000
12/19/2008	Tennessee Commerce Bancorp, Inc.	Franklin	$30,000,000
12/19/2008	Community Bankers Trust Corporation	Glen Allen	$17,680,000
12/19/2008	BancTrust Financial Group, Inc.	Mobile	$50,000,000
12/19/2008	Enterprise Financial Services Corp.	St. Louis	$35,000,000
12/19/2008	Mid Penn Bancorp, Inc.	Millersburg	$10,000,000
12/19/2008	Summit State Bank	Santa Rosa	$8,500,000
12/19/2008	VIST Financial Corp.	Wyomissing	$25,000,000
12/19/2008	Wainwright Bank & Trust Company	Boston	$22,000,000
12/19/2008	Whitney Holding Corporation	New Orleans	$300,000,000
12/19/2008	The Connecticut Bank and Trust Company	Hartford	$5,448,000
12/19/2008	CoBiz Financial Inc.	Denver	$64,450,000
12/19/2008	Santa Lucia Bancorp	Atascadero	$4,000,000
12/19/2008	Seacoast Banking Corporation of Florida	Stuart	$50,000,000
12/19/2008	Horizon Bancorp	Michigan City	$25,000,000
12/19/2008	Fidelity Southern Corporation	Atlanta	$48,200,000
12/19/2008	Community Financial Corporation	Staunton	$12,643,000
12/19/2008	Berkshire Hills Bancorp, Inc.	Pittsfield	$40,000,000
12/19/2008	First California Financial Group, Inc	Westlake Village	$25,000,000
12/19/2008	AmeriServ Financial, Inc	Johnstown	$21,000,000
12/19/2008	Security Federal Corporation	Aiken	$18,000,000
12/19/2008	Wintrust Financial Corporation	Lake Forest	$250,000,000
12/19/2008	Flushing Financial Corporation	Lake Success	$70,000,000
12/19/2008	Monarch Financial Holdings, Inc.	Chesapeake	$14,700,000
12/19/2008	StellarOne Corporation	Charlottesville	$30,000,000
12/19/2008	Union Bankshares Corporation	Bowling Green	$59,000,000
12/19/2008	Tidelands Bancshares, Inc	Mt. Pleasant	$14,448,000
12/19/2008	Bancorp Rhode Island, Inc.	Providence	$30,000,000
12/19/2008	Hawthorn Bancshares, Inc.	Lee’s Summit	$30,255,000
12/19/2008	The Elmira Savings Bank, FSB	Elmira	$9,090,000
12/19/2008	Alliance Financial Corporation	Syracuse	$26,918,000
12/19/2008	Heartland Financial USA, Inc.	Dubuque	$81,698,000
12/19/2008	Citizens First Corporation	Bowling Green	$8,779,000
12/19/2008	FFW Corporation	Wabash	$7,289,000
12/19/2008	Plains Capital Corporation	Dallas	$87,631,000
12/19/2008	Tri-County Financial Corporation	Waldorf	$15,540,000
12/19/2008	OneUnited Bank	Boston	$12,063,000
12/19/2008	Patriot Bancshares, Inc.	Houston	$26,038,000
12/19/2008	Pacific City Finacial Corporation	Los Angeles	$16,200,000
12/19/2008	Marquette National Corporation	Chicago	$35,500,000
12/19/2008	Exchange Bank	Santa Rosa	$43,000,000
12/19/2008	Monadnock Bancorp, Inc.	Peterborough	$1,834,000
12/19/2008	Bridgeview Bancorp, Inc.	Bridgeview	$38,000,000
12/19/2008	Fidelity Financial Corporation	Wichita	$36,282,000
12/19/2008	Patapsco Bancorp, Inc.	Dundalk	$6,000,000
12/19/2008	NCAL Bancorp	Los Angeles	$10,000,000
12/19/2008	FCB Bancorp, Inc.	Louisville	$9,294,000
12/31/2008	SunTrust Banks, Inc.	Atlanta	$1,350,000,000
12/31/2008	The PNC Financial Services Group Inc.	Pittsburgh	$7,579,200,000
12/31/2008	Fifth Third Bancorp	Cincinnati	$3,408,000,000
12/31/2008	Hampton Roads Bankshares, Inc.	Norfolk	$80,347,000
12/31/2008	CIT Group Inc.	New York	$2,330,000,000
12/31/2008	West Bancorporation, Inc.	West Des Moines	$36,000,000
12/31/2008	First Banks, Inc.	Clayton	$295,400,000
1/9/2009	Bank of America Corp.1	Charlotte	$10,000,000,000
1/9/2009	FirstMerit Corporation	Akron	$125,000,000
1/9/2009	Farmers Capital Bank Corporation	Frankfort	$30,000,000
1/9/2009	Peapack-Gladstone Financial Corporation	Gladstone	$28,685,000
1/9/2009	Commerce National Bank	Newport Beach	$5,000,000
1/9/2009	The First Bancorp, Inc.	Damariscotta	$25,000,000
1/9/2009	Sun Bancorp, Inc.	Vineland	$89,310,000
1/9/2009	Crescent Financial Corporation	Cary	$24,900,000
1/9/2009	American Express Company	New York	$3,388,890,000
1/9/2009	Central Pacific Financial Corp.	Honolulu	$135,000,000
1/9/2009	Centrue Financial Corporation	St. Louis	$32,668,000
1/9/2009	Eastern Virginia Bankshares, Inc.	Tappahannock	$24,000,000
1/9/2009	Colony Bankcorp, Inc.	Fitzgerald	$28,000,000
1/9/2009	Independent Bank Corp.	Rockland	$78,158,000
1/9/2009	Cadence Financial Corporation	Starkville	$44,000,000
1/9/2009	LCNB Corp.	Lebanon	$13,400,000
1/9/2009	Center Bancorp, Inc.	Union	$10,000,000
1/9/2009	F.N.B. Corporation	Hermitage	$100,000,000
1/9/2009	C&F Financial Corporation	West Point	$20,000,000
1/9/2009	North Central Bancshares, Inc.	Fort Dodge	$10,200,000
1/9/2009	Carolina Bank Holdings, Inc.	Greensboro	$16,000,000
1/9/2009	First Bancorp	Troy	$65,000,000
1/9/2009	First Financial Service Corporation	Elizabethtown	$20,000,000
1/9/2009	Codorus Valley Bancorp, Inc.	York	$16,500,000
1/9/2009	MidSouth Bancorp, Inc.	Lafayette	$20,000,000
1/9/2009	First Security Group, Inc.	Chattanooga	$33,000,000
1/9/2009	Shore Bancshares, Inc.	Easton	$25,000,000
1/9/2009	The Queensborough Company	Louisville	$12,000,000
1/9/2009	American State Bancshares, Inc.	Great Bend	$6,000,000
1/9/2009	Security California Bancorp	Riverside	$6,815,000
1/9/2009	Security Business Bancorp	San Diego	$5,803,000
1/9/2009	Sound Banking Company	Morehead City	$3,070,000
1/9/2009	Mission Community Bancorp	San Luis Obispo	$5,116,000
1/9/2009	Redwood Financial Inc.	Redwood Falls	$2,995,000
1/9/2009	Surrey Bancorp	Mount Airy	$2,000,000
1/9/2009	Independence Bank	East Greenwich	$1,065,000
1/9/2009	Valley Community Bank	Pleasanton	$5,500,000
1/9/2009	Rising Sun Bancorp	Rising Sun	$5,983,000
1/9/2009	Community Trust Financial Corporation	Ruston	$24,000,000
1/9/2009	GrandSouth Bancorporation	Greenville	$9,000,000
1/9/2009	Texas National Bancorporation	Jacksonville	$3,981,000
1/9/2009	Congaree Bancshares, Inc.	Cayce	$3,285,000
1/9/2009	New York Private Bank & Trust Corporation	New York	$267,274,000
1/16/2009	Bank of America Capital investment		$20 billion
1/16/2009	Bank of America loan-loss backstop		$118 billion
1/16/2009	Credit Union deposit insurance guarantees		$80 billion
1/16/2009	U.S. Central Federal Credit Union capital injection		$1 billion
	Auto Industry Bailout
Date	Recipient	Amount Allocated	Amount Spent
12/8/2008	General Motors	$13.4 billion	$4 billion
12/8/2008	Chrysler	$4 billion	$4 billion
12/8/2008	GMAC	$6 billion	$6 billion
11/8/2008	Citigroup capital investment	$20 billion	$20 billion
11/8/2008	Citigroup loan loss backstop	$5 billion	$0
11/8/2008	TALF loss provisions	$20 billion	$0
10/8/2008	Money market guarantees	$659 billion	unknown
10/8/2008	Commercial Paper Funding Facility	$1.4 trillion	$331.7 billion
11/8/2008	Unemployment benefit extensions	$8 billion	$8 billion
	AIG Bailout
11/8/2008	Treasury capital investment	$40 billion	$40 billion
11/8/2008	Bridge loan	$60 billion	$39.5 billion
11/8/2008	Collateralized debt obligation purchases	$30 billion	$28.2 billion
11/8/2008	Mortgage-backed securities purchases	$22.5 billion	$20 billion
11/8/2008	Commercial paper purchases4	$20.9 billion4	unknown4
11/8/2008	Citigroup loan-loss backstop	$300 billion	$0
11/8/2008	Term Asset-Backed Securities Loan Facility	$200 billion	$0
11/8/2008	GSE mortgage-backed securities purchases	$500 billion	$0
11/8/2008	GSE debt purchases	$100 billion	$0
11/8/2008	FDIC Temporary Liquidity Guarantee Program	Unlimited	unknown
	FDIC bank takeovers – 2008
Date	Name of bank	City	FDIC fund cost
1/25/2008	Douglass National Bank	Kansas City	$5.6 million
3/7/2008	Hume Bank	Hume	$0
5/9/2008	ANB Financial	Bentonvile	$214 million
5/30/2008	First Integrity Bank	Staples	$2.3 million
7/11/2008	IndyMac Bank	Pasadena	$8.9 billion1.0
7/25/2008	First National Bank of Nevada	Reno	$862 million1.1
7/25/2008	First Heritage Bank	Newport Beach	$862 million1.1
8/1/2008	First Priority Bank	Bradenton	$72 million
8/22/2008	The Columbian Bank and Trust Company	Topeka	$60 million
8/29/2008	Integrity Bank	Alpharetta	$350 million
9/5/2008	Silver State Bank	Henderson	$550 million
9/19/2008	Ameribank	Northfork	$42 million
9/25/2008	Washington Mutual Bank	Henderson	$0
10/10/2008	Main Street Bank	Northville	$39 million
10/10/2008	Meridian Bank	Eldred	$14.5 million
10/24/2008	Alpha Bank & Trust	Alpharetta	$158.1 million
10/31/2008	Freedom Bank	Bradenton	$104 million
11/7/2008	Franklin Bank	Houston	$1.6 billion
11/7/2008	Security Pacific Bank	Los Angeles	$210 million
11/21/2008	The Community Bank	Loganville	$240 million
11/21/2008	Downey Savings and Loan Association	Newport Beach	$1.4 billion
11/21/2008	PFF Bank and Trust	Pomona	$700 million
12/5/2008	First Georgia Community Bank	Jackson	$72.2 million
12/12/2008	Haven Trust Bank	Guluth	$200 million
12/12/2008	Sanderson State Bank	Sanderson	$12.5 million
	FDIC Bank takeovers – 2009
1/16/2009	National Bank of Commerce	Berkeley	$97.1 million
1/16/2009	Bank of Clark County	Vancouver	$145 million
1/23/2009	1st Centennial Bank	Redlands	$227 million
1/30/2009	MagnetBank	Salt Lake City	$119.4 million
1/30/2009	Suburban Federal Savings Bank	Crofton	$126 million
1/30/2009	Ocala National Bank	Ocala	$99.6 million

Quite a list huh?  I’ll post updates here every month or so to document this ridiculous spending to prop up bad companies.  Comments are welcomed.