Federal regulators are desperately seeking buyers for hairball WaMu (WM), says the Post. The Feds have placed calls to Wells Fargo, JP Morgan, and HSBC, asking if the banks would be willing to step in. Given the potential panic among WaMu’s depositors, the rescue better happen fast:
The move comes as investors worry that WaMu’s customers could begin pulling their money, which totals about $143 billion, out of the bank should its stock fall further.
That doesn’t appear to be happening now, but several WaMu customers in the New York area told The Post yesterday that they were worried about their cash.
“Should I be in panic mode?” asked one Brooklyn-based customer who recently bought a $250,000 13-month CD from the bank.
At the end of June, WaMu customers had 42.4 million accounts, almost all with less than the federally insured maximum of $100,000.
WaMu’s shares traded down as much as 25 per cent yesterday before rallying to end the day up 16 per cent to $2.32.
Note to depositors: Your accounts are insured up to $100,000, so no worries (unless the US government goes down).
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