It was WaMu’s 119th birthday on Thursday.
The thrift’s predecessor was incorporated on Sept. 25, 1889, “to offer its stockholders a safe and profitable vehicle for investing and lending.” This helped Seattle residents rebuild after a fire torched the city’s downtown.
The government’s choice of the day to seize the thrift, which became the largest U.S. bank failure, is unusual in other ways as well: Regulators typically take over failed banks on Friday afternoons. It gives them more time to sort out things over the weekend.
The FDIC said it did the deal on Thursday due to media leaks and to calm WaMu’s customers.
For JPMorgan Chase, which offered to take over the thrift for about $7 billion only a few months ago but got spurned, it must look like poetic justice. It is paying $1.9 billion to get the cleaner version of the troubled savings & loan.
Finally Jamie Dimon got to open his WaMu account on Thursday. And he did it with a “whoo hoo!”
(Photo credit: Reuters)
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7 comments so far
this is getting scary
- Posted by erickawow
- Posted by ericka[...] on Friday afternoons. It gives them more time to sort out things over the weekend. The FDIC, notes Reuters - said it did the deal on Thursday due to media leaks and to calm WaMu’s [...]
- Posted by JPMorgan Acquires Washington Mutualfunny how all the dealmakers behind the scenes worked for g-sachs or morgan, and i think its hilarious that sandy weil jr, i mean jamie dimon is making out like a bandit. you know what they say “the bigger they are, the harder they fail.”
- Posted by atal varmaI can not make a payment on my WaMu Providian credit card, because since the Presidents speech my bank (Rockland Federal Credit Union, Rockland,MA) has locked down all the accounts. There is no way to withdraw or make any payments to anyone. They did however accept the Direct Deposit of my Paycheck yesterday - now that money is trapped too. Good thing I took out Cash last week and have a high credit limit on my Providian Card!
- Posted by WaMu CustomerAny one know if part of the reasons that added to WAMU’s downfall were due to purchasing (wholesale lending) unethical and unfair home loans from wholesale lenders working with WAMU?? Reason I ask is that I have two properties that were refinanced through WAMU last year that were very unfair and against standard policies and have every sign of a PREDATORY LOAN. Is there any chance or action that I can take to have this loan restructured fairly or re-evaluated?. I will go into forclosure by the end of this year on both if nothing can be done. Your comments and/or ideas are greatly appreciated.
- Posted by ffllyyjjettssScary? Not at all, just business as usual.
- Posted by Nick