Sunday, September 20, 2009

U. S. A. Bank Failures
Recent Bank Failures in the United States of America have caused many Bank Stock Holders to loose money. While this statement should come as no surprise I have a proposal for the Banking Organizations that have taken over these failed banks. To view a list of failed banks please visit:
Admittedly the stock holders in these failed banks have lost considerable sums of money. For the organizations that have taken over the failed banks I would encourage the new organizations to provide some comfort to these stock holders who may have lost a lot of their retirement investments.
I know for a fact that several Middle Georgia Banks that have been taken over by other Banking Organizations have large lobbies that could serve as "Reception Areas" for Wedding Receptions. Those who have lost sums of money could be given the use of these Lobbies for the weddings of their Grandchildren and in some cases their Children. This would appear fair to me. After a family has lost money in a Bank it would be a nice gesture for the follow on organization to at least provide an appropriate "Wedding Reception" area for the losers. Certainly a gesture that would provide good will. If a stock loser has no children or grandchildren in the marriage age groups maybe the new Banking Organization could make their lobbies available for "Funeral" visitations. Another measure that would certainly be a good will gesture. Some might consider this a marketing ploy, but if I were to loose a sum on money on an investment in a bank I would most certainly appreciate any good will gesture on the part of the organization that might take over a failed bank.
From what I have heard and also read in various media reports the State of Georgia leads the Nation in the number of failed banks. The link I referenced above has 146 Banks on the Failed list. About 52 of these failures happened prior to 2009. Therefore there a lot of Georgia Investors who would welcome the good will of a no cost reception for a family wedding or even a funeral wake/visitation. After all they have lost money for their own funding for these events.
Just a thought from the Flower Child which may help reduce the pain for the losers who have invested in the Banks that have failed so far. From what I understand the problem that causes banks to fail is that they are under capitalized. Or to put it in terms that I might be able to understand, some banks have loans outstanding with a balance that is more than the assets of the banks. While this may work in the short term we as a Society are finding out that this concept does not work for the long term. Or as they used to say down at the General Store, the Chickens are coming home to roost.
Unfortunately a lot of good people have lost a considerable sum of money. My suggestion to provide an appropriate reception area in bank lobbies just may help ease the pain.

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