More about the bank closing
BANKS ON THE BRINK? By Tony Keyes
Three Federal bank regulators issued a "Cease and Desist Order" against a bank in Georgia for their negligence in adequately preparing for the potential Millennium Bug disaster. The first Y2K enforcement action on record, this "Cease and Desist Order" essentially puts the bank out of business unless they meet stringent and specific requirements.
Controlling a meager $200 million in assets, the institution in question, Putnam-Greene Financial Corporation, is relatively small potatoes in the grand scheme of US banking. However, it is representative of some of the 9,000 or so local, community banks, a sector that concerns bank regulators most. In testimony before the Senate Committee on Banking's Y2K subcommittee chaired by Senator Bob Bennett, regulators testified that the nation's largest banks were well on the way to solving the "millennium bug" problem. They did, however, express concern for the smaller institutions and said that their future examination efforts would pay close attention to this
group.
What does this all mean to you? Several things, perhaps. If you own stock in a local or regional bank, you should write to that bank and get specific information regarding their Year 2000 readiness. You can also write the Federal Reserve Bank and Federal Deposit Insurance Corporation to learn what if any information they have concerning the bank's status.
MUCH MORE - Well worth a read!
y2ktimebomb.com
ALL: I would highly suggest you purchase Tony Keyes book ($29.95), "Y2K Investors Survival Guide", if only to read the chapter about how to protect your assets. You really should be thinking about this now!
FYI - Because of my concern regarding smaller community banks and savings and loans, I have advised my family to not roll-over CD's in these institutions. |
