WAMU is CLOSING DOWN?!!?

Question

I just heard on the news that 'Wamu' (washington mutual) is closing it's doors? I have a bank account there! Dx I'm worried about my COLLEGE SAVINGS in there as well as my sister's. I searched for a little on Google and it just replied with stuff about 'mortgage and bussineness owners'. Does that apply to the regular account holders too? HELP! D:

Answer 1

~~This is a rumor-they are not closing down. My daughter works there and there are no problems, even there stock is slowly climbng. The banking side is very solvent and even showed a profit last year. Their home loans have hurt them as is the case for every bank. Her job is secure  this is just a weird rumor running through the net!~~

Answer 2

I haven't heard this but don't worry... I BELIEVE that WAMU is part of FDIC. FDIC was put in place by Roosevelt to insure your money up to $100,000. Hope this helps.

Answer 3

if it's true, yes it does. their stock hit like $5 per share. they've been in trouble for awhile. you should switch banks. this market is going to keep getting hit. put your money in a credit union because there is a  law (for now anyway) that says the government must allow those customers to retrieve their funds no matter what for six months. if you have under $100,000 in the bank, it SHOULD be insured but the government is so messed up, who knows. Good luck!

p.s. i heard it even applies to ira's too.

Answer 4

WAMU is closing some of its mortgage offices and laying off employees. It is not closing its doors. At least not yet, anyway.

Your funds are insured by the federal government up to $100,000.  So, there is no need to close your account unless you are over that limit.

I think Kalyn is a little confused about credit unions.  Many credit unions have bylaws that state they can make their members wait up to six months to withdraw their savings.  I doubt that any credit unions would enforce this bylaw - it would cause a panic among their members.

Credit unions offer equivalent federal insurance, offered by the NCUA (instead of FDIC) up to $100,000 per account owner.

IRAs are insured up to $250,000, separately from other accounts.  This is true for banks, thrifts (like WAMU) and credit unions.