opening a wamu and/or wachovia cd

[djkimd]

i know that both wamu and wachovia are ‘walking zombies’ that will/could be closed down any weekend soon. however, they are offering pretty high cd rates. of course so did indymac. my question is this- as long as the cd deposit (including anticipated interest) is below the fdic insurance limits, and the interest payments are compounding monthly, are there any other problems with opening a- say 12 month cd? of course, when/if the fdic closes the bank, you have to find a new place to deposit the funds. but until that happens, you are getting paid a higher rate. am i wrong in thinking that the most that would be lost is unpaid interest? if the payments are monthly, then at worst, up to 29 or 30 days of interest could be lost. and of course there is always the additional paperwork and effort to move the funds after the bank’s collapse. what other problems are out there?

[TuVu]

Our family’s trust has CDs at both Wachovia and WaMu. I (trustee) bought a 12-month CD from WaMu about a month ago and our broker was nervous enough to advise me to invest $96,000 instead of $100,000 so that if WaMu fails, I will still get the $100K FDIC protection, even with the relatively high interest they are paying. FWIW, he is more worried about WaMu than Wachovia.

I should add that I am not talking about this being my small family’s trust. It is the extended family trust.

[TuVu]

Our family’s trust has CDs at both Wachovia and WaMu. I (trustee) bought a 12-month CD from WaMu about a month ago and our broker was nervous enough to advise me to invest $96,000 instead of $100,000 so that if WaMu fails, I will still get the $100K FDIC protection, even with the relatively high interest they are paying. FWIW, he is more worried about WaMu than Wachovia.

I should add that I am not talking about this being my small family’s trust. It is the extended family trust.

[TuVu]

Our family’s trust has CDs at both Wachovia and WaMu. I (trustee) bought a 12-month CD from WaMu about a month ago and our broker was nervous enough to advise me to invest $96,000 instead of $100,000 so that if WaMu fails, I will still get the $100K FDIC protection, even with the relatively high interest they are paying. FWIW, he is more worried about WaMu than Wachovia.

I should add that I am not talking about this being my small family’s trust. It is the extended family trust.

[TuVu]

Our family’s trust has CDs at both Wachovia and WaMu. I (trustee) bought a 12-month CD from WaMu about a month ago and our broker was nervous enough to advise me to invest $96,000 instead of $100,000 so that if WaMu fails, I will still get the $100K FDIC protection, even with the relatively high interest they are paying. FWIW, he is more worried about WaMu than Wachovia.

I should add that I am not talking about this being my small family’s trust. It is the extended family trust.

[TuVu]

Our family’s trust has CDs at both Wachovia and WaMu. I (trustee) bought a 12-month CD from WaMu about a month ago and our broker was nervous enough to advise me to invest $96,000 instead of $100,000 so that if WaMu fails, I will still get the $100K FDIC protection, even with the relatively high interest they are paying. FWIW, he is more worried about WaMu than Wachovia.

I should add that I am not talking about this being my small family’s trust. It is the extended family trust.

[peterb]

Be very careful. There’s lots of talk on the street that both these places are in big trouble. Even if you’re covered by FDIC, how do you know how quickly and easily you’ll get your funds out? Why risk it? Go somewhere more solvent.

[peterb]

Be very careful. There’s lots of talk on the street that both these places are in big trouble. Even if you’re covered by FDIC, how do you know how quickly and easily you’ll get your funds out? Why risk it? Go somewhere more solvent.

[peterb]

Be very careful. There’s lots of talk on the street that both these places are in big trouble. Even if you’re covered by FDIC, how do you know how quickly and easily you’ll get your funds out? Why risk it? Go somewhere more solvent.

[peterb]

Be very careful. There’s lots of talk on the street that both these places are in big trouble. Even if you’re covered by FDIC, how do you know how quickly and easily you’ll get your funds out? Why risk it? Go somewhere more solvent.

[peterb]

Be very careful. There’s lots of talk on the street that both these places are in big trouble. Even if you’re covered by FDIC, how do you know how quickly and easily you’ll get your funds out? Why risk it? Go somewhere more solvent.

[Diego Mamani]

Although you never know what may happen, Wachovia is in far better shape than WaMu. They are big and diversified. Yes, they made the huge mistake of acquiring World Savings for its subprime market share, but they are big enough to survive, at least on paper. WaMu, on the other hand, bet heavily on subprime loans (not unlike World Savings) and is not as strong or diversified as Wachovia.

I’d say, as long as your deposits are below the FDIC limit, you should be OK with either one.

[Diego Mamani]

Although you never know what may happen, Wachovia is in far better shape than WaMu. They are big and diversified. Yes, they made the huge mistake of acquiring World Savings for its subprime market share, but they are big enough to survive, at least on paper. WaMu, on the other hand, bet heavily on subprime loans (not unlike World Savings) and is not as strong or diversified as Wachovia.

I’d say, as long as your deposits are below the FDIC limit, you should be OK with either one.

[Diego Mamani]

Although you never know what may happen, Wachovia is in far better shape than WaMu. They are big and diversified. Yes, they made the huge mistake of acquiring World Savings for its subprime market share, but they are big enough to survive, at least on paper. WaMu, on the other hand, bet heavily on subprime loans (not unlike World Savings) and is not as strong or diversified as Wachovia.

I’d say, as long as your deposits are below the FDIC limit, you should be OK with either one.

[Diego Mamani]

Although you never know what may happen, Wachovia is in far better shape than WaMu. They are big and diversified. Yes, they made the huge mistake of acquiring World Savings for its subprime market share, but they are big enough to survive, at least on paper. WaMu, on the other hand, bet heavily on subprime loans (not unlike World Savings) and is not as strong or diversified as Wachovia.

I’d say, as long as your deposits are below the FDIC limit, you should be OK with either one.

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