IndyMac Bank Closed

July 14th, 2008

[Update 7/14/08 6:40 AM PST– It appears that IndyMac’s website is functioning now. The new name, IndyMac Federal Bank, FSB is noted at the bottom. The website has a link to the FDIC info about the failure. From what I can tell, the non-brokered funds have been transferred to the new bank and things will continue as normal, probably until the FDIC can find a buyer. The Brokered deposits will be returned probably in similar fashion to ANB. Hopefully, IndyMac has them classified correctly so that there aren’t similar delays though.]

I was reading the newspaper Saturday Evening and was shocked to see IndyMac was taken over by the FDIC late Friday. Depending how you do the math, this was the 2nd or 3rd largest closure in history. IndyMac was over $32B in assets. IndyMac saw a $1.3Billion dollar run on the bank eleven days prior to Friday. The FDIC was concerned they wouldn’t be able to meet demands. Much of this run stemmed from Senator Charles Schumer. Him and the OTS have traded back and forth barbs.

Of course none of that helps the employees or the depositors of IndyMac. Anyone holding $100,000 or less will receive their deposits fairly quickly. On Monday you can call the FDIC Call center at 866-806-5919. There where also probably be more info posted at IndyMac’s website, but at the moment it just has general info.

Here is the link fo info from the FDIC. Call us on Monday if we can be of any service.

-- By +Chris Duncan

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