IndyMac depositors line up for cash after seizure

Gina Keating
Reuters
Monday, July 14, 2008

Hundreds of worried IndyMac Bancorp Inc customers descended on the company’s branches on Monday to withdraw their money, after regulators seized what was once one of the largest mortgage lenders in the United States.

Regulators took over the Pasadena-based lender on Friday after a bank run in which customers — panicked over IndyMac’s survival prospects — withdrew $1.3 billion over 11 business days, regulators said.

At a branch at IndyMac’s headquarters, customers began arriving at 4 a.m., five hours before the doors opened. The Federal Deposit Insurance Corp now operates the thrift’s 33 Southern California branches.

(Article continues below)

“I didn’t think anything like this would happen,” said retired teacher Charles Tengeri from Pasadena, who was first to emerge from the branch after withdrawing $171,000 — about two-thirds of his life savings. “I withdrew as much as I could. I know it’s going to take a little time.”

The FDIC said the renamed IndyMac Federal Bank will cover insured deposits, mostly up to $100,000, and initially cover 50 percent of uninsured deposits.

“I have $360,000 in this bank, and I was misled by this bank,” said Robert Clark, a Glendale resident. “I gave the names of my mother, my sister and my brother on the account so I thought I would be insured. I don’t know what to do. I really don’t know what to do.”

Full article here

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8 Responses to “IndyMac depositors line up for cash after seizure”

1. Emule Says:
   July 14th, 2008 at 3:04 pm

   “There’s a significant amount of grave concern about the banking sector,” said T.J. Marta, a fixed-income strategist at RBC Capital Markets in New York, the investment-banking arm of Canada’s biggest lender. “Now what we’re having is solvency concerns.”

   http://www.prisonplanet.com/tr.....orsen.html

2. Dave310 Says:
   July 14th, 2008 at 3:45 pm

   Just read the full article. This line scared me the most…

   John Bovenzi, an FDIC official working as IndyMac Federal’s chief executive, talked with customers as they waited for the doors to open, assuring one that “this bank is as safe and as sound as any bank in the country right now.”

   You can look at that statement two different ways. Either Indymac is fine…or all of the banks in the country are in the same boat.

3. David Says:
   July 14th, 2008 at 4:56 pm

   That line scared me too and I am in Australia

4. Indian in the machine Says:
   July 14th, 2008 at 6:48 pm

   All banks are in the same position.

   The entire financial system is fraudulant and crumbling.

   Everyone on the planet has the same right to financial abundance.

   Be well and stay in the Light,

   Dieter

   Indian in the machine

   Cloudship and sky spirits photographed by a canadian indian

5. Indian in the machine Says:
   July 14th, 2008 at 6:49 pm

   http://www.indianinthemachine.com, is where you can find me..

6. tom Says:
   July 14th, 2008 at 8:02 pm

   why even use a bank,bury your money

7. newfy777 Says:
   July 15th, 2008 at 7:38 am

   “I don’t know what to do”..
   I do..withdrawal all your fiat paper money and buy gold,silver,food,ammo,a safe to put your gold and silver in,& a berkey water filtration system

8. NoNWOhere Says:
   July 15th, 2008 at 12:47 pm

   GOOD ADVICE: Don’t keep large sums in the bank. Newfy777 has the right advice….buy arms, food, seeds etc. The winter will be here in a few months. It’s easy to make it in summer, when there is abundant produce etc. But, when it gets cold and we need heat as well as food, we need to be prepared.
   If we have no oil for heat when it’s freezing outside, it will bring many to their knees. Stockpile now. Get prepared. Savings or certificates will not put food on the table – and while buying gold is good advice….you cannot eat a chunk of gold. Food and ammo will be the new gold currency.