opening a wamu and/or wachovia cd

[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.

[djkimd]

peterb, thanks for your comment. i think i read it on this site. if a bank gets taken over, that is usually done over the weekend. the fdic does what it does, and then the following monday it reopens and depositers who are insured can get their funds right away, up to the fdic limits. so the time risk is a matter of a few days.

[djkimd]

peterb, thanks for your comment. i think i read it on this site. if a bank gets taken over, that is usually done over the weekend. the fdic does what it does, and then the following monday it reopens and depositers who are insured can get their funds right away, up to the fdic limits. so the time risk is a matter of a few days.

[djkimd]

peterb, thanks for your comment. i think i read it on this site. if a bank gets taken over, that is usually done over the weekend. the fdic does what it does, and then the following monday it reopens and depositers who are insured can get their funds right away, up to the fdic limits. so the time risk is a matter of a few days.

[djkimd]

peterb, thanks for your comment. i think i read it on this site. if a bank gets taken over, that is usually done over the weekend. the fdic does what it does, and then the following monday it reopens and depositers who are insured can get their funds right away, up to the fdic limits. so the time risk is a matter of a few days.

[djkimd]

peterb, thanks for your comment. i think i read it on this site. if a bank gets taken over, that is usually done over the weekend. the fdic does what it does, and then the following monday it reopens and depositers who are insured can get their funds right away, up to the fdic limits. so the time risk is a matter of a few days.

[cr]

Why risk it?

Is an additional 1% or less worth the hassle if the bank fails?

ING will give you 3.4%, Capital One will give you 4%, and the Fed is going to have to raise rates soon anyway.

Sure you could make an extra $900 or a year with that 1%, but you’d likely lose more than that in the time it takes to get all your money from the FDIC. That’s if they remain solvent.

I wonder if you can short the FDIC…

[cr]

Why risk it?

Is an additional 1% or less worth the hassle if the bank fails?

ING will give you 3.4%, Capital One will give you 4%, and the Fed is going to have to raise rates soon anyway.

Sure you could make an extra $900 or a year with that 1%, but you’d likely lose more than that in the time it takes to get all your money from the FDIC. That’s if they remain solvent.

I wonder if you can short the FDIC…

[cr]

Why risk it?

Is an additional 1% or less worth the hassle if the bank fails?

ING will give you 3.4%, Capital One will give you 4%, and the Fed is going to have to raise rates soon anyway.

Sure you could make an extra $900 or a year with that 1%, but you’d likely lose more than that in the time it takes to get all your money from the FDIC. That’s if they remain solvent.

I wonder if you can short the FDIC…

[cr]

Why risk it?

Is an additional 1% or less worth the hassle if the bank fails?

ING will give you 3.4%, Capital One will give you 4%, and the Fed is going to have to raise rates soon anyway.

Sure you could make an extra $900 or a year with that 1%, but you’d likely lose more than that in the time it takes to get all your money from the FDIC. That’s if they remain solvent.

I wonder if you can short the FDIC…

[cr]

Why risk it?

Is an additional 1% or less worth the hassle if the bank fails?

ING will give you 3.4%, Capital One will give you 4%, and the Fed is going to have to raise rates soon anyway.

Sure you could make an extra $900 or a year with that 1%, but you’d likely lose more than that in the time it takes to get all your money from the FDIC. That’s if they remain solvent.

I wonder if you can short the FDIC…

[peterb]

Risk reward is your choice, of course. But these are somewhat new waters of default levels and the FDIC. Past performance may not be an accurate indicator for the future. This seems like a rather large chunk of change to risk when it’s not really needed to risk. In a receeding market, capital preservation is absolutely critical. There’s no upside anywhere right now and lots of downside happening and coming down the pike. Take an ultra defensive position and wait for the bottom. My opinion FWIW.

[peterb]

Risk reward is your choice, of course. But these are somewhat new waters of default levels and the FDIC. Past performance may not be an accurate indicator for the future. This seems like a rather large chunk of change to risk when it’s not really needed to risk. In a receeding market, capital preservation is absolutely critical. There’s no upside anywhere right now and lots of downside happening and coming down the pike. Take an ultra defensive position and wait for the bottom. My opinion FWIW.

[peterb]

Risk reward is your choice, of course. But these are somewhat new waters of default levels and the FDIC. Past performance may not be an accurate indicator for the future. This seems like a rather large chunk of change to risk when it’s not really needed to risk. In a receeding market, capital preservation is absolutely critical. There’s no upside anywhere right now and lots of downside happening and coming down the pike. Take an ultra defensive position and wait for the bottom. My opinion FWIW.

[peterb]

Risk reward is your choice, of course. But these are somewhat new waters of default levels and the FDIC. Past performance may not be an accurate indicator for the future. This seems like a rather large chunk of change to risk when it’s not really needed to risk. In a receeding market, capital preservation is absolutely critical. There’s no upside anywhere right now and lots of downside happening and coming down the pike. Take an ultra defensive position and wait for the bottom. My opinion FWIW.

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