The next sound you hear............from Rico

The next sound you hear will NOT be a crash, but a rather big "splash" as the FDIC becomes the next failure to need bailing out by YU the taxpayer. How does a trillion dollars sound?

FDIC "insures" over 8,000 banks with an nsurance fund that has a negative balance.
- From 2000 to Oct 2007, 27 banks were closed by the FDIC. Nearly eight full years. Only 27 banks shuttered.
- From Nov 2007 to now, 237 banks have been closed. There are more to come. Bad debts and commercial real estate (CRE) loans will 'insure' a comma in the number of failed banks before we're done.

In April, 17 banks were closed. So far in May, it's 15. Year to date, 73.
- BUT there are over a thousand bank vaults stuffed with toxic waste, not cash.

I think of the "big four" banks (Citi, Bank of America, Wells Fargo, JP Morgan) as quasi-GSE's today. They are "too big to fail" and will be saved by the government at all co$t$...and believe me, it's gonna cost YOU. (Where do you think the government gets all its money from, anyway?)
- These four banks hold $7 trillion dollars in assets.
- The 'other' 8,095 FDIC-insured banks just under $6 trillion dollars in assets. Think of many of them as "too small to succeed" under today's centrally-planned economy. They are toast. Done. Walking dead (zombie banks) as I write this. More than 10% of them are in deep trouble. Strap on the Wellies now (saving the hip waders for next) because we're going to be in very deep muck ourselves soon.

She(ila) Bair, FDIC Chairman, had 252 'problem' banks listed as 2008 closed. The list was 702 as 2009 ended. Today the government admits to having 775 on their problem list. Yeah. Sure. Righty-O! You can take that number to the bank, eh?
- Like unemployment numbers, the "official" numbers are half the "real" numbers, so are the phoney "official" numbers on the economy and the financial sector....double what you're being told/what is being admitted to by the bureaucrats-in-clownshoes.