“We believe the banking industry is undergoing a structural transformation that may include radical changes with permanent repercussions,” said Standard & Poor’s credit analyst Rodrigo Quintanilla.
Oh, this is getting interesting! The Street, Jim Cramer’s former company, offers free online bank ratings. I’ve checked ’em for years now.
Well, for 15+ years I had banked with Wells Fargo. There the nation’s second-largest bank by market cap, in deposits, home mortgage servicing, and debit card. I left them in 2006 when I discovered their outrageous exposure to derivatives. [Is Your Bank a Casino?]
I warned about WF (and others in the spring in 5 Banks Are “Dead Men Walking”.
Well, look where Wells Fargo is today:
Full report is here.
Anyone taking bets on how long they’ll last? I put my money on them being dead/sold off by Nov 26, 2009.
And if you bank with them don’t worry, the FDIC insures your deposits up to 250,000 per account owner.*
*The FDIC may take up to 99 years to return your money. [link] They (not you) will decide the payout schedule based on what they perceive as your need. And, only 1/4 of 1% of your deposit is actually backed with payout reserves. [link]