If there was any question on why banks failed, this should eliminate it!

OMG! I only laughed because I do not have any kind of money anywhere near them. I bank at a local community bank. I love it!

if it weren't for the fact they probably passed on the loss to the customers, i'd say they deserved to get ripped off. good lord,what greedy idiots they had to be to fall for that.

I used to have a loan with that bank but not any more and glad I don't. Someone from that bank shouldn't be working there to make that big of a goof.

These large banking concerns played the "greed game" and it got them in trouble. I used to borrow money from a hometown bank that was owned by one person. There was never a problem and if you had a good track record you didn't even have to put up anything for security. I would simply tell him how much money I needed to expand my business and he would simply put a slip of paper (about 4x10 inches in size)in front of me and ask me to sign it. The next question was "how do you want the money". As he got up in age he sold the bank to a consortium that owned several banks in the area. Everything changed, they let several people go, hired new agressive personel. And they lost a lot of their customers. As far as I know the bank isn't in any financial trouble although one of my friends who was an executive at the bank took retirement pay and now works at another hometown bank. We had regulators for the banking industry and the stock market who sat on their duffs and did nothing to control the situation. If they hadn't been asleep at the switch neither industry would be in the trouble their in today! Maybe someone can answer this: Who appoints the regulators?

I am in real estate an know that the banks sell of the loans to Fannie mae et al. and they in turn sell them off to investors. This is to keep their assets liquid. The problem may have been the scam was so well disguised they did not know. How many fell for Maddoff?

Hey jerz! I think that this is beyond reproach! How dare they be so out and out stupid!~ I never fell for this moronic scam, how in the hell could a corporation this big fall for something so blatently fake and stupid! They have been harassing me over a credit card debt which I can't pay right now since I am on disability. I have told them that they are harassing me and by law, they are not allowed to do this! Do they listen, no! But, they are stupid enough to fall for the biggest scam around! I asked then why they gave me a $27,000 credit line when I wasn't able to pay the lower credit line and they kept uping it and they got angry at me! I knew they were stupid then! I was paying them as fast as I could, but they kept raising my limits and I kept borrowing money to live! So I got deeper in debt and they kept allowing it! So now I see that they are even stupider then I originally thought!