Say Buh-Bye To Washington Mutual....

[BlooInBloo]

http://calculatedrisk.blogspot.com/2008/09/s-lowers-wamu-credit-rating-to-junk.html

"From Bloomberg: WaMu Rating Lowered to Junk by S&P on Mortgage Losses (hat tip Justin)

Washington Mutual Inc. ... had its credit rating cut to junk by Standard & Poor's because of the deteriorating housing market.
...
``Increasing market turmoil and the related impact from managing its concentrated mortgage franchise in this troubled housing and credit cycle led to the downgrade,'' S&P wrote."

[terrya]

1. Wonderful. I bank at Washington Mutual.

:-(

[tridim]

3. My mortgage is with WaMu.

It's crashing down all around me and there's nothing I can do about it. What a lovely feeling. :scared:

[ejpoeta]

11. don't you just feel the economic stability in the air!! /snark

[YellowRubberDuckie]

24. I hope this makes you feel a little better...

They will sell your mortgage to a company that isn't jacked up. You will be fine. You will get a letter in the mail in a few weeks that tells you who to start sending your new payment. I wish you all the luck in the world.
Duckie

[tridim]

28. Thanks, that does make me feel better.

[MissDeeds]

46. Our mortgage was with them too

Until it was sold to Wells Fargo. We had no trouble with WaMu and thought they did great by us. Wells Fargo has the mortgage now and they are terrible. We have had nothing but problems and screw ups with them. Wonder how stable they are...

[trueblue2007]

4. I'm with Washington Mutual too. I really LIKE this bank!!!

[terrya]

6. I've had nothing but good experiences with Washington Mutual.

Crap. Now what happens?

[TZ]

16. I liked them when I had my mortgage with them...

But a few months ago they sold my loan (or whatever banks do) to Wells Fargo..I really liked Wa Mutual....

[JuniperLea]

23. I bank AND my mortgage is held by them

Whomever they sell my mortgage to better not fuck with my 30-year fixed rates!

[YellowRubberDuckie]

25. Your note and your mortgage are fine.

If they sell it off, the terms stay the same. If you have any questions, I will answer them. Thanks.
Duckie

[JuniperLea]

61. Thanks, Duckie

I know in my head that this is so, but my heart wants to panic... and I see a lot of comments like "get all your money out as fast as you can" which in my head I know are fear driven. It's just that we haven't seen failures at this level before. Lehman Bros survived the depression, and AIG is the 18th largest company in the world. WaMu, if I'm not mistaken, bought up a few S&L's back in the earlier financial crisis. If you go by the books and common financial sense, these things shouldn't be happening. So, I guess I'm having a hard time coming to terms with what I think is good logical thinking, in a world where that sound, old-school logic may no longer apply.

[Renew Deal]

37. Get all the cash you can get tonight.

And get the rest in the morning.

[intheflow]

39. My 401k is with them.

Of course, it's only about $600 bucks, but still...

[Hugabear]

53. Pull your money out ASAP

Take all your money out now, or take your chances with the FDIC.

[samuraiguppy]

2. excellent.

they closed my credit card on me when I lost my job. Tanked my credit rating--kept pulling hard pulls on my credit report, I hate this company.

[nadinbrzezinski]

18. I hope you don't mind the economic consequences

of these bank failures, or the higher unemployment rate

And I know what is to hate a company by the way... but this is not a small company

[samuraiguppy]

21. hey I'm just

saying they did me wrong. Predatory interest rates, unfair extra charges--so many things.

I don't feel at all sorry for the company.

I do feel sorry for the unemployed--as one of them--welcome to my world.

But it is hard for me to real sorry for the company that rate-jacked me from 6 percent interest to 29.99 percent interest over night.

The horrible way they ran their company and the mean way they treated people is coming back on them. And some of the people running that company deserve to go through some shit for all the evil they have done.

[JeanGrey]

29. ding ding ding!!!!

[Raine]

26. I hate them too...

from personal experience they're the most incompetent bank I've ever dealt with, they can't keep their accounts straight. I wouldn't trust them with a nickel of my money.

[samuraiguppy]

31. thanks for sharing, I agree with you 100%

their chickens are coming home to roost in some ways.

I don't want to see innocent people get hurt--but this company is a bottom feeder than preys on poor people.

[JeanGrey]

27. AGREED. They suck. My son was three days late on

a payment on his WAmu credit card and they called my house THIRTY SEVEN TIMES at all hours even after I told them my son didn't live with me and I had cancer. One had the nerve to say if I paid it they would stop calling!!

Today they've only called once. I guess it is sinking in with emphasis on SINKING.

[samuraiguppy]

30. that sounds familiar--

I got the harassing calls constantly. I hope a more decent bank takes over their accounts.

All my best to you and your son.

I also had cancer when I fell behind on my account--they refused to give me even a little time....

[JeanGrey]

47. It wasn't even my account. It was m son's. How in the world

they got my number is beyond me except we have a distinctive last name and we're in the book. They are horrible, horrible people.

[samuraiguppy]

50. you aren't the only one--they

harassed my family members too--and even called my neighbor (!)

Shouldn't it be against the law for them to do this? Credit problems should be a matter of some confidentiality.

They SUCK.

I wish you and your family all the best.

[Liberal Gramma]

51. I think that IS against the law

There is a federal law that prohibits certain practices in debt collection, but I think it applies only to third-party debt collection. Some states have laws that apply the same standards to the original creditor.

[samuraiguppy]

52. they claimed they were

trying to find me--they called my neighbor and sent her over to my house to find me.

Obviously that kind of gave away that I was in a credit mess if they were so desperate to get ahold of me they were harassing my neighbors?

Are there any lawyers here? I am in the state of California if that matters.

Of course even if I had a case--there is no point if they are going under....but these guys definitely were out of line

[JeanGrey]

56. They deserve what they get!!

[Liberal Gramma]

58. California has laws preventing this kind of harassment

I'm not a lawyer--I'm a retired banker--but I am pretty sure this was illegal. Google "Fair Credit Collection Act" and "California" and you should find the California laws regulating credit collection practices.

[unblock]

45. so it's YOUR fault they got downgraded to junk!

you can see how desperate they were for that payment!

:rofl:


</kidding>

my sympathies, there's no excuse for debt collections harassment. ain't it annoying how, when they're wrong, they just refuse to believe you?

[JeanGrey]

49. Yeppers is it my sons fault for missing that $98.00 payment.

Today they only called once. I guess the layoffs have begun.

[laylah]

57. Sorry to hear about your

illness, Jean :hug: Inform them they are NOT to call you again, then put it into writing, or you will turn them in for harrassment. They HAVE to stop calling if directed, in writing, to do so! And, of course, keep a copy.

[mrJJ]

5. Wamu meet Taxpayer

Fed already said were gonna be on the hook for about $20 Billion to bail out Wamu... go figure

[cliffordu]

7. Hey, that's my bank too......

I wonder what they're going to call it next......

[Sequoia]

12. This is sort of my bank.

I was thinking about having direct deposit with my meager $6 in the account now but I've been holding off due to some instictive feeling this might happen because the credit card part kept sending me deals to good to be true which I chucked in the old recycling bin.

[tabatha]

8. My mortage was with Home Savings which was taken over by WaMu.

Their customer service was so awful, that I moved to another bank and 4 years ago looked elsewhere for refinancing. I am happy I left. But I still have to move my IRA from them as well.

[El Supremo]

9. I sold a lot of risky stuff and put it in WaMu CD's.

Are they going to be toast?

[Pale Blue Dot]

14. See my post #13.

[ThoughtCriminal]

10. And what happens to these guys?

[Pale Blue Dot]

13. If you have more than $100,000 in WaMU, get it out NOW. Then, the rest of us have to start worrying.

A Washington Mutual collapse would likely use up all of the FDIC's remaining reserves of cash. What happens then is anyone's guess.

[El Supremo]

15. I hope you mean $100,000.

Insured by the FDIC.

[Pale Blue Dot]

17. Sorry. Yes, of course. nt

[Renew Deal]

38. If it were me, I'd take it out.

I'd prefer to control my money than to wait for the FDIC.

[GreenPartyVoter]

19. Hubby's got a couple of business credit cards with them :^(

[upi402]

20. Credit card and HELOC with them, how to cover my butt?

I have a credit card and a HELOC with WaMu, what can I do to cover my butt here?
I got most all of my savings out last week but just transferred credit debt to a new card there.
Help!
:yoiks:

[high density]

22. There's nothing to worry about

For one thing junk status doesn't mean they're dead. Secondly there are plenty of banks itching to buy your credit card and HELOC from WaMu, should they go down.

[samuraiguppy]

32. I checked into it--

it appears that Chase would like to buy the credit card accounts--that would be a definite step up for most people. Chase has their problems but is a little less of a predatory lender in comparison.

[upi402]

35. Thanks folks!

I tried to prevent all this for decades, but ...
And I bought gold, transferred all my stocks to international funds, and got out of WaMu even thought their staff is 100% and their products good too. I hear it's a different story if you have a problem or are victimized though.

I just don't think it's fair that we're being victims due to freeper arrogance, ignorance, and delusion-based hate. So I want to minimize the damage by telling friends that are liberal what's up. And ask too.

[sentelle]

59. didnt JPM Chase

Buy Bear sterns and inherit all their debt beyond the insured amount?

Seems like another house of cards.

[sentelle]

33. and lets not forget

That their stock is cratering. Its down .29 to $1.80/share. If memory serves me right, if it gets below $1.00/share, its in danger of being delisted.

What that means is that they will have a hard time getting investment. That, combined with the s&p thing, and all those CA. Loans could create a problem, for everyone.

While your assets are likely safe, getting them might take time. For my value, I think its time to move my money out of wamu to something safer, so I can get the money when I want it, not when some government regulator says so.

[Nikki Stone1]

34. For the first time, I am grateful I have an account with B of A.

At least for now.

[jlj3394]

36. It will get worse before it gets better. Bahgdad Bob McCain will still say its OK

Someone needs to take Greenspan's interview and televise the "the country can't afford the McCain tax cuts," parts. Over and over.

[Celebration]

40. Okay, I'll bite, Bye Bye

:hi:

Bye Bye Wash Mu!!

Bye Bye.

[Gregorian]

41. Great. I've got fifty grand in a savings account there.

I was thinking about getting a metal box today. Maybe it's time. Get the backhoe and dig a hole.


I never thought I'd post anything like this. But I actually mean it.


Hey, it's only money...

[truebrit71]

42. Your money is insured by FDIC...

..hopefully saves you the expense of the backhoe ;-)

[Gregorian]

44. No prob. I have my own backhoe.

I never did trust FDIC in situations like this one.

OK, I'm being silly. I always thought putting money under the floorboards was a republican mentality.

[flvegan]

43. Yeah, and the sky is falling too.

I love market-condition credit woe speculation.

[BlooInBloo]

54. Dude - I could totallly be wrong - but clowning *moi* as a "chickien little" is certainly...

going a bit far.


EDIT: drnken typo.;

[JuniperLea]

60. You are talking old school

Show me where we've seen 150 year old companies that survived the depression going under, ever. And the 18th largest company in the world. These are not the usual... they are not in the books.

[starroute]

48. Roosevelt

http://www.history.com/this-day-in-history.do?action=Article&id=5755

When Franklin Roosevelt started his first term in the White House in 1933, he inherited a nation in the depths of the Depression. A record 13 million Americans were unemployed and businesses were drowning in red ink. Perhaps even more pressing was the head-spinning string of bank failures which had triggered a frantic run on the nationÝs savings vaults. The wave of withdrawals by panic-stricken depositors further dried up banks' already-depleted supply of liquid assets and pushed the nation's banking system to the brink of disaster. On March 5--the day after being sworn into office--Roosevelt stepped into the breach and declared a "bank holiday," which, for four days forced the closure of the nation's banks and halted all financial transactions. The "holiday" not only helped stem the frantic run on banks, but gave Roosevelt time to push the Emergency Banking Act through the legislative chain. Passed by Congress on March 9, the act handed the president a far-reaching grip over bank dealings and "foreign transactions." The legislation also paved the path for solvent banks to resume business as early as March 10. Three short days later nearly 1,000 banks were up and running again.

[FlyingSquirrel]

55. Bastards.

Laid off my wife and thousands of others... outsourced jobs to India... just got greedy as pigs. Serves 'em right.

[SoCalDem]

62. They gobbled up Home Savings (where we used to bank)

I actually changed all my WaMu stuff to provident bank just yesterday.. We did not worry about losing any money, just a switchover always causes some turmoil.. we bank online and have auto payroll deposit, it was not all that hard to shut them down..Now the hard part comes.. getting them to actually close our account and quit sending us offers:)

[Blue_Tires]

63. wow....a shame i just paid off their 25% interest credit card...

which i pleaded down from 31.74% (!)