CIT has secured a $3 billion credit from its bondholders.
Wall street responded well to the news. The news seemed to indicate CIT might dodge the bullet and avoid bankruptcy. CIT may not be the top of the heap in terms of size but it plays a vital lending role to the small and medium business loans industry. Loans to over 1 million businesses says plenty.
CIT has also announced this was the first step in its recapitalization plan, and offering a tender for its senior notes due August 17.
It must be noted that CIT is just beginning its expected very long road to financial health. The Bondholders in this deal are expected to come out very well from this deal. Prior to this, there were many worried reports that CIT would not survive. Watch this video below.
Mention savings security in banks and you are likely to have visions of a heavy steel vault amid tight security. This is a picture that has been ingrained into your memory since childhood – a picture of safety and security. But how secure is your money that you’ve deposited in the bank?
Let’s go through what can hurt your money quickly and you make your own judgement and due diligence.
1) Deposit Insurance. There is always a limit to the amount of money you can put into a bank that is secured by the country’s Bank Deposit Insurance system. If you have exceeded the technical amount, and the bank goes under, you could be out of luck for the balance. And there is always a danger that you may not be covered too…read more.
2) Inflation that eats away at your money. The value of your savings + interest – taxes; will likely mean you are not getting ahead of the value of money you had put into the bank after a number of years…read more.
3) Online Security. Thieves no longer need to get into the vault to get your money anymore. Did you realize that most of the “money” is only a statement on a computer? Much of the banks’ deposits is not cash at all. Therefore the strongest security will be required on the internet, not in that super steel vault – which are really just smoke and mirrors in many cases. Giant vaults are for storing valuables these days.
4) Invested cash exposed to market forces. Are your investments properly spread out or are they only in one place – all the eggs in one basket? Also, always spread all your money in various places. For example, buy a number of smaller homes rather than a big one…read more.
5) Banks will always raise fees on you to make more money. Check that your charges like ATM or service charges are understandable and in keeping with what you had expected. If not, raise hell. Ask if they have other paskages more suited to your use…read more.
6) Keep your profit hat on. Continue to monitor your savings and your attached investments closely. It’s surprising what profit opportunities you can find if you do. Likewise, you can find that something going amiss with your investments too…read more.
7) Bank being a jerk? MOVE! Be prepared to move your account to another bank if you or your money is not being well treated. You might consider using private banking instead of the retail banking. This will abode well for any future financial emergencies…read more.
How or why there is a discrepancy in what is supposed to be there and the actual quantity according to an external audit is still in question. And the question is what has happened to $15.3 million (estimated) worth of gold that’s seem to be missing.
What has happened? Robbery? No answer here. The case has been reported to the RCMP about 10 weeks after the discovery. But the Canadian government is going ahead with its own investigations as to what happened. Going as far as to withhold all executive bonuses until the the matter is cleared up.
It is surprising that so much gold could have been missing given that the security at the Canadian Mint is tight with the RCMP also keeping an eye on the place.
Could this be another great mystery robbery or just some mistake somewhere with Canada’s missing glod?
“Deloitte and Touche estimates the value of the missing precious metals is $15.3 million. It’s the first time a dollar figure has been put on the gold, silver, platinum and palladium in question.
The mint has asked the RCMP to help account for the mystery of the missing precious metals – which have been missing for months – after being told by the government to call in the Mounties. ”
Understandably there have been a great number of requests for its clarification. Frankly, the rewritten rules are really long and may be difficult to decifer. So, I’ve sourced some updates but find what better place than to use a Private Bank called The Private Bank’s own publication. See it below.
Important Update On FDIC Insurance:
[[The PrivateBank is participating in the FDIC's Transaction Account Guarantee Program. Under that program, through December 31, 2009, all noninterest-bearing transaction accounts are fully guaranteed by the FDIC for the entire amount in the account. Coverage under the Transaction Account Guarantee Program is in addition to and separate from the coverage available under the FDIC's general deposit insurance rules.
On October 3, 2008, FDIC deposit insurance temporarily increased from $100,000 to $250,000 per depositor through December 31, 2009. Effective May 20, 2009, President Obama signed legislation that extended the time period for this increased insurance coverage. The “Helping Families Save Their Homes Act” extends the temporary increase in the standard maximum deposit insurance amount (SMDIA) to $250,000 through December 31, 2013. The recent legislation states that the SMDIA will return to $100,000 on January 1, 2014. This legislation does not extend the December 31, 2009 deadline for unlimited FDIC insurance coverage granted to non-interest bearing account clients. This deadline remains unchanged.]]
The Rich nations (G20) and Poor nations (B30?) are in New York discussing the impact of the economic downturn (2009) for the very first time.
With such a disparity between the richest and poorest – on the opposite ends of the global scale, if you had expected very opposite complaints and claims, you would have been correct.
The Summit was called and organized, but the outcome is still moot – seriously.
Here’s what Laura Trevelyan, UN correspondent, BBC News has to say about the unfolding events…
[The less well-off nations wanted their own financial stimulus, relief on their debt repayments, greater UN control over the World Bank and the International Monetary Fund and a follow up conference to make sure anything agreed at this one was acted upon.
The richest countries were wary of spending extra money, and fought against greater UN control over the financial institutions.
The outcome is a fudge.
There is a call for the 20 wealthiest countries to consider giving extra money to impoverished nations, a commitment to a follow-up working group and vague language on debt relief.
Critics say this is a missed opportunity because there is no immediate action to help those in greatest need, while supporters say this conference has given a voice to the developing world.] Read More.
Banks in common misconception is a store of money. Not true. It is an ”institution” that creates money by lending you, the borrower money.
Money is a common denomination that everyone commonly wants as a store of exchange. Unfortunately, when that money is guaranteed or created by an unreliable source, it is worth nothing.
The Federal Reserve or Central Bank is supposed to be the banker to the country or sometimes to the rest of the world because it is very simply, supposedly the most trustworthy. But today, these Reserve Banks have become a very dangerous and apparently controlling entity of our economies world wide…
Imagine, you need another billion? No problem here take a hundred billion. Then America is breaking all records with Trillions of dollars being created out of thin air being printed in 2009 alone…
Thomas Jefferson and Andrew Jackson understood “The Monster”. But to most Americans today, Federal Reserve is just a name on the dollar bill. They have no idea of what the central bank does to the economy, or to their own economic lives; of how and why it was founded and operates; or of the sound money and banking that could end the statism, inflation, and business cycles that the Fed generates.
Watch this video. It’s a movie. Get a cup of coffee and a cookie. You won’t fall asleep. In fact, you may lose your sleep for the rest of the week.
Buzzirk Mobile and Global Verge has combined their unique advantages to create a potent worldwide winning combination.
News of this new emerging mobile giant – Buzzirk Mobile is getting about. Bankers, Wall Street types and even overseas corporate giants have been trying to get a piece of the action. But true to form, the top Guy, The CEO of the company controlling the technology was rumoured to have shown them the door.
Plans have been laid for the launch and a number of people lucky or wise enough to get involved early – as in right now – will have an advantage and can make a financial killing with this new business in the mobile battle field. The technical and business model is still scant, but you can take a peek at this information source I found here.
And if you’re a little smarter than the next guy, I saw that you can secure your position for a nominal fee.
Cell Phones Have a Profitable History
They stir up memories of agents fighting to get their hands on the first Blackberries and then iPhones. The agents assumed – and rightly so -they could make a killing when those devices came out. Yes, they were right.
And now, there is a new and very powerful and shiny kid on the block. And yes, they are very well funded and has supremely excellent carrier agreements already in place. Is it any wonder then that iPhones, and Blackberries and just about every other mobile systems carrier is in a tiff and greatly worried? Look at all the new technology Buzzirk Mobile is bringing out to do battle with all the carriers and systems.
This is not hype. The technology and the technological agreements have been developed well ahead of the marketing materials.
Now, the makers of specialty smart phones even those released last quarter with all their smart gadgetry may be extremely advanced, but truth be told, they’re about to be made obsolete. And so are the new iPhones and Blackberrys. Technology has a way of making quantum leaps from time to time. But the new Pharos, often the makers of specialty phones for the Hollywood elites have created the Pharos Traveler 137 (in picture) will be just that with the new software and hardware included. The functions and capabilities will take anyone else years to try to play catch up. Now, I’m saying catchup – and it is quite something else to overtake the new technology being used in Buzzirk Mobile.
That said, an estimated 3 year lead in the marketplace (typical of new very advanced technologies, historically) is a lifetime of opportunity for Buzzirk Mobile to make great and deep inroads into the world of Mobile Devices worldwide.
Well, watch the boss of Zer01, Ben Piilani himself giving a quick demo on the technology on You Tube.
So, is this an investment worthy of notice? Most certainly. Let’s see why.
1) Drastic user cost reductions.
Buzzirk Mobile is selling their super phones and unlimited plans and also GSM enabled SIM cards (without the max capabilities of the new Pharos or other smart phones created to take advantage of this new system) with the true unlimited monthly use at only one fixed fee of $79.95 and for $10.00 more, you get the same unlimited international use in more than 30 countires. There will also be a family plan to be announced.
2) Distribution through Direct Marketing.
Buzzirk Mobile is not selling these phones with the traditional phone franchise store like AT&T or Rogers or Bell…instead they are breaking with the pack and instead giving you and I the opportunity to get in on it too. It saves them hundreds of millions in set up costs and passing on the savings on to the consumer and through the Direct Marketing system handled by Global Verge. In doing so, they are actively promoting for ”E-Associates” or direct marketing distributors to sign up before the release of these phones to the public. Will it fly? Yes, it is already starting to take off. Anyone savvy in such a business will get signed up quickly before the big launch wave occurs.
3) Working Technology Before the Hype.
Technology is often useless if it cannot be readily used. In this case, all the transmission agreements in the area codes of North America has been confirmed. In fact, all the new technology was ready to go well before the marketing even began. It’s crazy, but they had worked without hype and hoopla, got it all working even before the marketing materials were even considered! And yes, it’s a multi-billions dollar company with billions more ready to be invested world wide.
Editor’s Update:
There have been some disturbing and suddend develoment. Zer01 Mobile has terminated its involvement with Buzzirk Mobile, leaving thousands of e-associates who have signed up to the idea and a dream of making a great income with this unlimited ohone service is no more. Read the story here.
Now it’s a Made in America Bank War. The Fed versus the BofA .
As if the whole American Banking situation wasn’t enough drama:
- Freddie Mac,
- Fanny Mae,
- Bank Bailouts,
- GM and Chrysler,
- UBS and tax evasion,
- and now…enter the behemoths – the Feds vs the Bank of America…
A headline like “Who Coerced Who?” and statements like “Maybe Kenneth Lewis, the chief executive of Bank of America, held the gun to the Federal Reserve’s head last December, not the other way around,” are most certainly fighting words on a mega scale.
For those that need not be there, it’s best not to get in the way and simply watch from the sidelines…
Here’s the report in full from Forbes - click here.
The Bank Regulation in the UK as set by the then Chancellor Mr. Gordon Brown is being defended by the current Chancellor, Mr. Allistair Darling.
The current credit crunch is ‘not to blame’ said Mr Darling. Instead, he will focus on the judgement on the regulators. Really declaring that the bankers and everyone else in the financial industry screwed up big time.
Why deflect the blame when really, the whole system from top to bottom really must take responsibility for the whole problem. And being at the head of the system failure, typically, the head rolls does it not?
[[The current system has been widely criticised for failing to prevent excessive risk taking at banks.
The Tories are planning to announce sweeping changes to current regulations.
The system, which was introduced by Prime Minister Gordon Brown when he was chancellor, relies on the Financial Services Authority, the Treasury and the Bank of England to regulate financial institutions.]] Article by the BBC - read more…
But important information about moves within the industry is even more cryptic…And what does it matter to the rest of the world? Well, when the VIPs of the investment or banking work makes moves, they are always strategic in nature. Big corporations that run Private Banks do not make such moves lightly.
So, sometimes when we get gems of information regarding which important player hase moved where, it’s golden news. You may be sure billions of dollars gets transferred along with the news.
Read the article below from Reuters…
HSBC PRIVATE BANK
The firm said it appointed Oliver Pacton as head of investment and treasury services in Asia, Giles Scott as head of investment advisory and expanded Jeanie Yuen’s role to include responsibility for all discretionary business in Asia.
Pacton moves from his role as head of trading and sales in Geneva to Hong Kong, while Scott joins from Merrill Lynch.
Pacton is replaced in Geneva by Alain Alev, who is now head of trading and sales in HSBC Private Bank Suisse (SA
June 15 (Reuters) – The following financial services industry appointments were announced on Monday. To inform us of other job changes, e-mail moves@thomsonreuters.com
FINANCIAL SERVICES AUTHORITY (FSA)
The regulator of the financial services industry said it had appointed Ken Hogg as insurance sector director. Hogg is currently interim chief financial officer at MGM Assurance and will begin his new role on July 6.
LAZARD LTD (LAZ.N)
The merger adviser said it had hired former Merrill Lynch banker George “Woody” Young as head of its global telecommunications practice. [ID:nBNG322688]
DEUTSCHE BANK SECURITIES (DBKGn.DE)
Deutsche Bank said Jeff Knupp had joined as a director in its Global Markets division, based in Chicago. Knupp will be responsible for Midwest sales for Global Prime Finance. He joins from Morgan Stanley (MS.N).
JONES LANG LASALLE
The firm said Andrew Gould, head of its professional & advisory group, would become chief executive of its English Business, effective July 1.
Andy Mottram, currently head of the English Business, will take on a full-time EMEA management board role overseeing the firm’s management, advisory and project & development services operations across the region.
ARCH INSURANCE GROUP
The division of Arch Capital Group Ltd (ACGL.O) said it had promoted Michael Murphy to president of the property & casualty group. Murphy joined the company in 2002.
The firm also said it apointed John Rafferty head of the executive assurance division of the financial & professional liability group. Rafferty most recently led Hartford’s Financial Products division.
GREENHILL & CO INC (GHL.N)
The independent investment bank said it had appointed Seamus Moorhead and Charles Gournay as managing directors, based in London. Moorhead and Gournay were previously at UBS Investment Bank.
Wall street responded well to the news. The news seemed to indicate CIT might dodge the bullet and avoid bankruptcy. CIT may not be the top of the heap in terms of size but it plays a vital lending role to the small and medium business loans industry. Loans to over 1 million businesses says plenty.
How or why there is a discrepancy in what is supposed to be there and the actual quantity according to an external audit is still in question. And the question is what has happened to $15.3 million (estimated) worth of gold that’s seem to be missing.
Understandably there have been a great number of requests for its clarification. Frankly, the rewritten rules are really long and may be difficult to decifer. So, I’ve sourced some updates but find what better place than to use a Private Bank called The Private Bank’s own publication. See it below.
The Rich nations (G20) and Poor nations (B30?) are in New York discussing the impact of the economic downturn (2009) for the very first time.
Buzzirk Mobile and Global Verge
The Bank Regulation in the UK as set by the then Chancellor Mr. Gordon Brown is being defended by the current Chancellor, Mr. Allistair Darling.
But important information about moves within the industry is even more cryptic…And what does it matter to the rest of the world? Well, when the VIPs of the investment or banking work makes moves, they are always strategic in nature. Big corporations that run Private Banks do not make such moves lightly.
