A New Bailout?

I just got a note from Bank of America telling me that some of my accounts now have unlimited deposit insurance from the FDIC through 2012, above and beyond traditional limits.   We are worried about reckless banks so we are ...  further reducing and socializing the costs of risk-taking?  Notice I received below, I cannot yet find any info on FDIC site.  As usual click to enlarge.


  1. L Nettles:


    The Transaction Account Guarantee Program as described in the Interim Rule, provided for a temporary full guarantee by the FDIC for funds held at FDIC-insured depository institutions in noninterest-bearing transaction accounts above the existing deposit insurance limit. This coverage became effective on October 14, 2008, and would continue through December 31, 2009. On August 26, 2009, the FDIC extended the Transaction Account Guarantee Program for six months, through June 30, 2010.[2] The guarantee was then extended an additional six months, through December 31, 2010.[3] Thereafter section 343 of the Dodd-Frank Wall Street Reform and Consumer Protection Act will provide a similar transaction account insurance, from December 31, 2010 through December 31, 2012.[4]

  2. IgotBupkis, President, United Anarchist Society:

    > Dodd-Frank Wall Street Reform and Consumer Protection Act

    Just so we know who to thank for this shit when the whole thing collapses.

    I'm sure we won't be able to thank them enough.

  3. Bearster:

    Mussolini would be proud. This is fascism, nominally private ownership but public control and bailouts. Otherwise known as privatized gains and socialized losses. Also known as moral hazard, perverse incentives, a ponzi scheme, or an unsustainable trajectory.

  4. Henry Bowman:

    Get your money out of BofA!

  5. Michael:

    Bank of America is the worst. I withdrew the last of my money out of there about three months. Now i have all my savings in a local credit union. It just makes me feel better to have my money (what little there is) out of that monster.

  6. IgotBupkis:

    Bank of America is the worst.

    Nawwww...Wachovia and Citibank both make them look like choir boys.