Bank of America needs $34 billion to stay viable

NorthernSanctuary · 05-06-2009, 08:54 AM

BREAKING NEWS! Bank of America Requires 34 Billion to Stay Viable!!!
Quote

Bank of America needs extra 33.9 bln dlrs: reportMay 6, 2009 - 2:44PM
Bank of America will need 33.9 billion US dollars in extra capital from the US government to remain financially stable, The New York Times reported.

The government has informed the banking giant of its decision, the Times said, citing a bank executive, but the amount is greater than what executives think the bank needs.

"We're not happy about it because it's still a big number," said J. Steele Alphin, the bank's chief administrative officer. "We think it should be a bit less at the end of the day."

The report came ahead of results Thursday from "stress tests" conducted by US authorities on 19 top banks, including their capital adequacy levels.

The Wall Street Journal meanwhile said 10 of the 19 banks subject to the tests may need to raise more capital.

The exact number of banks required to raise more funds has not yet been determined, the financial daily said, but those affected could include banking giants Wells Fargo, Bank of America and Citigroup.

http://www.reuters.com/article/newsO...5450C120090506

Malynda · 05-06-2009, 09:00 AM

Amazing. Bank of America is a bank that has some of the highest fees and charges for every service down to the most minor. I can't believe that with so many fees and charges they aren't solvent. Seriously, where has all the money gone?

Money has to go somewhere. It's like water conservation. I don't understand why we want to stop using water when my understanding is that when water is used, it then evaporates back up filling our clouds and creating more rain. Must be missing something.

oceanblue · 05-06-2009, 04:24 PM

Quote:

Originally Posted by Malynda

Amazing. Bank of America is a bank that has some of the highest fees and charges for every service down to the most minor. I can't believe that with so many fees and charges they aren't solvent. Seriously, where has all the money gone?

Money has to go somewhere. It's like water conservation. I don't understand why we want to stop using water when my understanding is that when water is used, it then evaporates back up filling our clouds and creating more rain. Must be missing something.

Saltwater oceans hold 97% of surface water, glaciers and polar ice caps 2.4%, and other land surface water such as rivers, lakes and ponds 0.6%. Therefore only tiny portion of water could be used by human i.e. freshwater. Importantly, freshwater is not evenly naturally distributed around the world. Compounding the effects of uneven population growth, pollution, intensive farming, climate change.......so humanity is facing water crisis in general. http://www.peopleandplanet.net/doc.p...671&section=14

Yeah as an analogy, wealth is also not evenly distributed among us due to many factors - "mostly unnatural ?" . "Money indeed has to go somewhere"

JoyAnna · 05-06-2009, 04:29 PM

Yesterday, my neighbor was telling me about all the new fees described in the information that came with her monthly bank statement. She, like so many out there, said that although she rarely bothers to read any of these things, or even inspect the statement, for some reason read it more carefully and was deeply surprised to learn of all the additional fees, balance requirements, etc. I don't remember all the details, but I got out of BofA 10 years ago. I asked her why she didn't move her account to our local credit union. Her response, "Oh, it's too much trouble to change all my accounts that are direct deposited, etc." How many people like this are being hurt?

Dakini · 05-06-2009, 10:32 PM

I got notice 3 wks ago that both of my BOA credit cards' APR's were being adjusted to increase exponentially - one to 15% and the other to 16% thereabouts. One could refuse the increase by not using the cards again and calling the toll free number provided; then continuing monthly payments at the previous APR.

Credit card customers should darn well read the notices that come in the mail, and we should expect more of this from others - like Capital One.

05-06-2009, 08:54 AM	#1
NorthernSanctuary Avalon Senior Member Join Date: Sep 2008 Location: Montreal, Canada Posts: 698	Bank of America needs $34 billion to stay viable BREAKING NEWS! Bank of America Requires 34 Billion to Stay Viable!!! Quote Bank of America needs extra 33.9 bln dlrs: reportMay 6, 2009 - 2:44PM Bank of America will need 33.9 billion US dollars in extra capital from the US government to remain financially stable, The New York Times reported. The government has informed the banking giant of its decision, the Times said, citing a bank executive, but the amount is greater than what executives think the bank needs. "We're not happy about it because it's still a big number," said J. Steele Alphin, the bank's chief administrative officer. "We think it should be a bit less at the end of the day." The report came ahead of results Thursday from "stress tests" conducted by US authorities on 19 top banks, including their capital adequacy levels. The Wall Street Journal meanwhile said 10 of the 19 banks subject to the tests may need to raise more capital. The exact number of banks required to raise more funds has not yet been determined, the financial daily said, but those affected could include banking giants Wells Fargo, Bank of America and Citigroup. http://www.reuters.com/article/newsO...5450C120090506

05-06-2009, 09:00 AM	#2
Malynda Avalon Senior Member Join Date: Mar 2009 Posts: 250	Re: Bank of America needs $34 billion to stay viable Amazing. Bank of America is a bank that has some of the highest fees and charges for every service down to the most minor. I can't believe that with so many fees and charges they aren't solvent. Seriously, where has all the money gone? Money has to go somewhere. It's like water conservation. I don't understand why we want to stop using water when my understanding is that when water is used, it then evaporates back up filling our clouds and creating more rain. Must be missing something.

05-06-2009, 04:29 PM	#4
JoyAnna Avalon Senior Member Join Date: Sep 2008 Location: Maple Falls, WA, USA Posts: 51	Re: Bank of America needs $34 billion to stay viable Yesterday, my neighbor was telling me about all the new fees described in the information that came with her monthly bank statement. She, like so many out there, said that although she rarely bothers to read any of these things, or even inspect the statement, for some reason read it more carefully and was deeply surprised to learn of all the additional fees, balance requirements, etc. I don't remember all the details, but I got out of BofA 10 years ago. I asked her why she didn't move her account to our local credit union. Her response, "Oh, it's too much trouble to change all my accounts that are direct deposited, etc." How many people like this are being hurt?

05-06-2009, 10:32 PM	#5
Dakini Avalon Senior Member Join Date: Oct 2008 Location: Connecticut Posts: 152	Re: Bank of America needs $34 billion to stay viable I got notice 3 wks ago that both of my BOA credit cards' APR's were being adjusted to increase exponentially - one to 15% and the other to 16% thereabouts. One could refuse the increase by not using the cards again and calling the toll free number provided; then continuing monthly payments at the previous APR. Credit card customers should darn well read the notices that come in the mail, and we should expect more of this from others - like Capital One.