Humble Start for FDIC Shift… WSJ article by Ruth Simon & Peter Lattman
To read the article, please click HERE.
A quote:
An FDIC spokesman said the retroactive rescue “would provide a more-even treatment of uninsured depositors since the onset of the crisis.” In response to depositor complaints, the agency has simplified some of its rules on insurance coverage for account beneficiaries. A spokesman for OneWest Bank, formed by private-equity investors who bought IndyMac assets and operations from the FDIC last year, declined to comment. … Of course they declined to comment.
InDY Yardstick Act – HR 5429 – YOUR MISSION NOW!
Greetings Fellow Depositors!
Last week we had a great meeting with Congresswoman Jane Harman in El Segundo. There were 10 fellow depositors who accompanied me from District 36. She took the time to explain the new depositor insurance legislation for consideration by the House, presented by Congresswoman Jane Harman (D-CA) and Congressman David Dreier (R-CA). While meeting with Ms. Harman last week for a “next steps” strategy meeting, I can tell you she really cares, and has worked hard on getting legislation enacted for us. Remember, this is round two.
We have new support in the House, from Congressman Barney Frank as well as the FDIC. So now we need to gain the support of the Senate as the plan is to place this legislation into Conference and have it added to the Financial Reform Bill.
The fastest way for us to gain support is to get signatures on the “Letter of Support” from every Californian you possibly can, to show strength and solidarity for this bill to the Senate, particularly our California Senators. Then we will present these signatures to our Senators and ask that they not only support this legislation, but also encourage their fellow Senators to do the same.
WE NEED EVERYONE’S HELP THIS WEEK!! Please download and print as many copies of the documents that we have prepared for you. First there is the Depositor Letter of Support. This form allows you as a depositor to add your information as well as any of the facts that you would like the Senators to hear about. The second form is a General Letter of Support that you can use to gather many signatures on. Please let those you approach know that their information will never be sold or shared with anyone other than the Senators and Congressmen that we present them to.
So please garner signatures from friends, family, co-workers, strangers, fellow members of your houses of worship, bridge clubs, country clubs or your grocer, postal worker, everyone who is a Californian. On the bottom of each form is a Fax number as well as a US Mail address to use to return the form to me. The Fax will be the fastest and most preferred. You can scan and email back to this address if that works for you as well.
SO PLEASE GATHER AS MANY SIGNATURES AS YOU CAN THIS WEEK SO WE CAN BEGIN OUR PUSH FOR THE SENATORS SUPPORT!!!
IndyMac Depositors meet with Congresswoman Jane Harman
On Thursday, June 3, 2010, Jane Harman welcomed 10 IndyMac depositors to her office in El Segundo, CA.
HARMAN, DREIER “InDY ACT” PROVIDES RETROACTIVE PROTECTION FOR INDYMAC DEPOSITORS l
Lawmaker says ~“We have spent a trillion dollars bailing out Wall Street, the auto industry and banks. It’s time for more help for Main Street.”~
Washington, D.C. – Reps. Jane Harman (D-Venice) and David Dreier (R-San Dimas) today introduced H.R. 5429, the “Investor Deposit Yardstick Act” (InDY Act) to raise retroactively the limit on the insured savings of depositors in banks that collapsed between January and October 2008, when the federal government raised the FDIC insurance limit from $100,000 to $250,000 per account.
The largest savings and loan in the Los Angeles area, IndyMac, failed in July 2008, wiping out $233 million in savings from approximately 6,500 depositors overnight. Their savings were insured only up to $100,000 per account.
The legislation would also retroactively protect the savings of 1,500 depositors in five other failed banks in Florida, Montana, Arkansas, Kansas and Nevada.
“Our bill will restore to IndyMac customers what they suddenly lost in July 2008, and treat them as equals to other Americans whose savings were swallowed by the economic crisis,” said Harman. “Congress can make these people whole again. We have spent a trillion dollars bailing out Wall Street, the auto industry and banks. It’s time for more help for Main Street.”
“Seeking fairness for former IndyMac depositors has been a priority since the bank’s takeover in the summer of 2008,” Dreier said. “Their losses were no less difficult and no less tragic than those that occurred later that same year. It is only fair that the families and small business owners who kept their savings with IndyMac receive the same protection as those who lost funds at other financial institutions but were covered by the higher deposit insurance amount.”
