Thursday, March 12, 2009

FDIC-Congress Failure during which years??? Guess.

So the FDIC did not collect ANY premiums from banks to cover the federal safety net that insures accounts. You know- that little FDIC label that our banks tout that proclaim our money's safety? Well, 95% of US banks apparently did not pay into the fund for a decade. Why not, you may ask. Well, CONGRESS said they DIDN'T HAVE TO. In which decade did this occur? The 1920s, you might think. Government was pretty stupid back then. Um, no.

1996-2006. That's right- the years that the Repugs controlled congress.

The Federal Deposit Insurance Corporation, which insures deposits up to $250,000, tried for years to get congressional authority to collect the premiums in case of a looming crisis. But Congress believed that the fund was so well-capitalized - and that bank failures were so infrequent - that there was no need to collect the premiums for a decade, according to banking officials and analysts.

Pitchfork, anyone?

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