“Bank Foreclosures Take A Holiday!”

Until Friday there had been no foreclosures in over a month.

On Friday the FDIC closed three banks, the first to be closed in 2012.

Notably, the three banks seized on Friday included number 75 in Georgia and number 54 in Florida. The First State Bank in Georgia cost the Deposit Insurance Fund $216 million. The cost of the other two were of little significance comparatively.

The year ended with the loss of 92 banks, less than each of the previous two years. Since the crisis began in January, 2008, 417 banks have fallen including the three new ones on Friday.

But the question is, as we start a new year of foreclosures, how many banks can Georgia and Florida lose before it becomes an extreme crisis in each state? How much money should be poured into these failed banking systems from the Fund, and eventually taxpayers, before the bleeding is stopped.

Another question is where would we be if there were no FDIC; a government created safety net established by the Glass Steagall Act in 1933? The legislation separated the banks into two types — commercial banks (safe depositories) and investment banks (risk elevated) which protected the banking system and responsible Americans for more than 68 years.

The third question — why haven’t any of these shady bank executives gone to prison?

These are questions the American people should be asking.

Maybe the time has come to Occupy the FDIC?

I’m just saying.

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