Obama Proposes FDIC Hike

This is a good suggestion by Obama.

Very bad idea. How is this going to help people with bad mortgages and need to borrow money? We should let the whole economy go down the same way it went up.

It helps assure people that more of their money is safe, so they won’t go taking it all out of the banks, which is a big part of what causes bank failures. It won’t be the ultimate solution, but it sounds like a good addition to it.

Wake up! Good suggestion? How many Americans have 250K sitting in a bank! The problem is we have Billions of $$$ of bad home loans out there, pushed by Freddy/Franny and the Dems! Unless we get the housing fixed, the FDIC can guarantee 1 Million in each account but it is not going to help! Goodness people this problem has been created by years and years of bad lending practice not because peoples bank accounts are not insured past the 100K mark!

Copy cat of Jim Cramer’s! Cramer suggested FDIC raises to $1M or DOW Jones will drop 2,500 points. Now Obama PLAGIARIZES Cramer’s suggestion with $250,000.

Another way for the Government to bail out the Wealthy.
Does Obama Even have a Clue????????
Tell Me obama to go back under the porch where it is safe.
Since he he not ready to deal with or get involved with the real problems that we are facing.

chuck, many people have over $100k in the bank. It’s called “life savings” for many people. My wife and I are in this situation. My parents and my in-laws are in this situation. We are just like everyone else we know.
Obama’s idea is a very good one. It’s a concrete step that could be taken to guard against a financial meltdown. Increasing the amount that the FDIC guarantees would help to make people feel that their money is secure and would make them less likely to panic.
The problem, by the way, has been caused by massive deregulation of the financial world. If you think that’s mainly a Democratic issue, you haven’t been paying attention.

No BAILOUT FOR THE RICHES. The Dems are in bed with the riches. That’s why they want to go along with Paulson (WHO IS CLEARLY IN BED WITH THE RICHES). Down with Paulson. DOWN WITH DEMS & THE RICHES. Let the economy fail then we all go down TOGETHER. I OPPOSE using my tax money to bailout the RICHES who MADE careless lending decisions.

The problem, by the way, has been caused by massive deregulation of the financial world. If you think that’s mainly a Democratic issue, you haven’t been paying attention.
Posted by: Alan J | Sep 30, 2008 7:50:08 AM
I think you have not been paying attention if you think this has been caused by the republicans

Seems like a good idea to me.

The bailout and those who support it ARE CORNERING Main Street citizens with their own agenda commonly known as “covering your rear ends”!!! NO WAY, NO HOW, NO BAILOUT!!!

I wonder about those of you who think having over $100k means a small business or an individual is rich. I’m wondering if you are just young and at the beginning of your work life, or haven’t started it yet? It’s not all that much, particularly if it has been accumulated over years and years.

The suggestion is a good one,but it is not going to solve the problem at hand.
It is kinda like having your hand cut off and some propsing how to save your leg

Yes I do my comment is in regard to you saying about him helping small buissness which I happen to own one and what I am saying is he can care less about us small buissness owners .The proof of that is his tax proposals

And by the way – I’m sure McCain will support this proposal as well…
Posted by: Paul | Sep 30, 2008 8:12:16 AM
I am sure he will as well.I think we need to fix the bleeding first.

Well done Obama. A good practical measure that could be taken immediately to stabilize the banks. I hope people will be able to go beyond partisanship and get behind this idea. It doesn’t matter whose idea it was or who first proposed it. Any one who cares about this country should put country first and focus on what is going to help us now.

Waa…Waa…Waa…Nancy’s being mean to me…so I’m going home….

I’m looking at the big picture of who can bring real change and vitality to this country.
Posted by: Cara V. | Sep 30, 2008 8:15:46 AM
I think you mean talk about change he already has back pedaled on his platform .He cant raise taxes the way he wanted to he cant spend the way he wants to.I think if you do some digging on a little piece called the community reinvesment act you will see what caused this financial crisis that you speak of

The Federal Deposit Insurance Corporation (FDIC) is a United States government corporation created by the Glass-Steagall Act of 1933. You do not get it. The funds come from taxpayers. The money does not grow on trees. The FDIC could go bust with financial crisis.
All Obama ideas are immature and without any thought of the future. The rate hike will cost you, the America taxpayer. There are no free rides.
After a thorough investigation, there is no doubt in backing and voting for
Ralph Nader.
http://www.votenader.org/about/
NO…. NO…. NO WAY Obama. McCain is on the back burner. Obama failed our investigation. McCain did somewhat better.

Good suggestion? You’ve got to be kidding me! Obama continues to be an idiot. Not every American has $250,000 just laying around in a bank. We are just trying to stay afloat with our everyday expenses. Obama, do us ALL a favor and go back to Chicago. You are way too inexperienced to be playing in this election game!

The FDIC insurance limit should have been adjusted for inflation long ago. I’m surprised raising the cap wasn’t part of the rescue legislation already.
Excellent suggestion from Obama.
Glad somebody is keeping his wits about him, unlike a certain crazed Repub presidential candidate who is certainly NOT HELPING PEOPLE STAY CALM…

Excellent suggestion from Obama.
Glad somebody is keeping his wits about him, unlike a certain crazed Repub presidential candidate who is certainly NOT HELPING PEOPLE STAY CALM…
Posted by: SueP | Sep 30, 2008 8:45:55 AM
You make me laugh…just like a “typical” Obamabot…how is he going to pay for this? Oh, I know….he’ll continue to raise our taxes, right? Just like a DemWit, you would be in favor of this. Again, no solutions from the idiot Obama….”empty suit, no substance!”

Obama PLAGIARIZES Cramer. Biden PLAGIARIZED in the past and was caught many times.
Obama/Biden = PLAGIARIZING TEAM. NO ORIGINAL IDEAS. NO OBAMA. NO BIDEN.

billthomson stated:
Actually, its a good suggestion since it will help stop people from running to the bank to withdraw all their money
********************
It’s too late for this now, what the Obamanut planning to help America out right now? NOTHING! Just like with gas prices, what did the Obama idiot do…NOTHING! What is Obamabots campaign all about? NOTHING! Send this clown back to Chicago and his Rezko thugs….America does not want him!

Many, many people and small businesses have over $100k in the bank. Sorry for those of you who aren’t in that situation. But just because this doesn’t apply to you doesn’t mean it doesn’t apply to millions of people. Hey, it’s not all about you….
Go OBAMA/BIDEN.

Sorry Obamapelosi etc. but apparently America DOES want him. I know, it hurts, but check out the polls.

Who has $100,000 in the bank much less $250,000? This does not help paycheck-to-paycheck Americans. and this would require more tax increase.

For those who are for the bailout, get your heads out and take a lok at the anti-bailout rallies the last several days. NO BAILOUT. NO OBAMA. NO BAILOBAMA.

Palin should expose obama for being a fraud. What has Obama ever done for the economy. tax increases, earmarks to ACORN, wasting $130,000,000 in failing the Chicago Annenberg Challenge.

ablanche08, your posts are getting increasingly moronic. “No bailout, no Obama”?????? Who proposed the bailout? BUSH. And in case you didn’t notice, McCain and Obama both voted for it.

Thanks, 1percenter — Intelligent post. Badly needed around here.

“You’re wrong, geevill. Although you can spread money across multiple banks, it is more to your advantage to leverage in one bank to achieve the best rates. Many of the brokerages will also have ‘bank deposit’ programs where they will do this for you automatically (Wachovia for instance”
The Obamabots think it is a good idea? Why stop at $250,000? How about $1 million?

You’re wrong, geevill. Although you can spread money across multiple banks, it is more to your advantage to leverage in one bank to achieve the best rates. Many of the brokerages will also have ‘bank deposit’ programs where they will do this for you automatically (Wachovia for instance).
Plus, in this time – which banks do you choose?
It is a good idea on Obama’s part, as long as the FDIC can back it with enough reserve”
I see what we have here. One of those rich latte liberals for Obama. Most American aren’t worrying about getting a better rate for their millions in savings. Obama is notihng but a tool for the liberal elites like Streisand and Speilberg.

Obama supporters are now saying people have buckets of cash in the bank. Well over $100,000. What happened to the depression???????
Main Street Americans are not runnig to the bank. We are just concerned about our meager 401ks and TAXES. Raising the FDIC insurance level only encourages more irresponsible behavior by lenders.

His figure is nearly spot on for inflation – it is not just sucked out of thin air. I went onto the net to find an inflation calculator.
This is a government one : Using 1980 as base year and $100 000
http://data.bls.gov/cgi-bin/cpicalc.pl
Try 1981 as start year as well becuase it is already september.
This is a majorly good piece of advice. Believe me – A percentage of people are afraid to sell buy houses because they are petrified that their money could dissapear in a bank collapse during the transfer.
It also helps to stop bank runs. A very important part of financial stability. It is an insurance – that puts money back into the hands of the small guy. It does not protect the rich. For the rich $250 000 is one months salary.

It’s early in the morning and already the Republican idiots are blogging . They still offer classes to get your high school diploma for Conservatives. This move is to help small business owners or didn’t you read that ?

If this is such a bad idea, why is McShame now saying Me Too! Me Too! ?

geevill, I’m sorry you don’t have a lot of money, really I am. But middle class isn’t defined as “as much money as Geevill has.” It’s a little broader than that.
And I’m sorry to rub it in, but many of us do have over 100k in the bank, because we’ve worked hard and saved for years.

GALLOP POLL- OBAMA 50% MCSAME 42%

It’s so nice to see all the McMad nutjobs so angry over this proposal. I love it! McMad pulls theatrics, Obama is the first to interject this idea (that is the first of Obama and McMad) and it’s somehow viewed as a bad thing, when it’s a good thing for the country. Not the be all-end all, but it does improve confidence in the market at zero tax payer expense.
This is not surprising. It’s why Obama is going to beat McMad on 11/4.
Hello, My name is Barack Obama and I’m your next President!

I’m an Analyst with fairly large mortgage lender. I can tell you with certainty that we’re in this mess due to deregulation (primarily). Without Graham-Leach-Bliley, we would NOT be in the mess we’re in today.
Phil Graham is the architect of that legislation. Phil Graham is a McCain advisor.
Total market deregulation is a FAILED policy. McCain has been a proponent of TOTAL MARKET DEREGULATION his entire career, or at least until about 2 weeks ago.
He is not for the middle class. His economic philosophy is BAD for the middle class.
His run for Presidency is crashing as we speak. He’s done.

Those of you who are crying about the fact you don’t have more that $100,000 in the bank and who are teething resentment towards those that do:
as if they have done wrong by being fiscally responsible
as if they don’t deserve protection too
Please re-read the following quote from the article above:
“While that guarantee is more than adequate for most families, it is insufficient for many small businesses that maintain bank accounts to meet their payroll, buy their supplies, and invest in expanding and creating jobs. The current insurance limit of $100,000 was set 28 years ago and has not been adjusted for inflation.”
He wants to protect small businesses.
It is clearly stated.
No conspiracy.
Some of you may work for small businesses. Even if you don’t have more than $100,000 in the bank, you would still benefit from this idea.

Look, from both sides…Dem or GOP posters. Anybody who starts a statement, ends their point, or integrates a play of a candidates name in their statement loses credibility and relevance…Seriously, stuff like “Obamabot or McSame”, i’m sick of seeing it. It pretty much tells which side you are firmly on, and makes your point irrelevant. Let’s see some honest posts!
Now, as a passionate Obama supporter, I find it funny how the pundits said Obama was on the sideline at first…Now he presents a proposal (that may or may not be a good idea, thats TBD) and the McCain supporters are dissing it ASAP…This most likely is out of fear that Congress will jump on this now, Obama will get the credit, and McCain will be history…But my thing is, if you’re going to attack a candidate, be consistent…Don’t say he’s on the sideline, then say he needs to get back under the porce (whoever said that)…
Oh yea, 2 more days until Gov Palin’s fate is sealed with conservatives!!!
Obama/Biden 08

The Tax Policy Center estimates that by 2010, 89 percent of married couples with two or more kids and adjusted gross incomes between $75,000 and $100,000 will be subject to the AMT if nothing is done. So even if Obama cuts the regular income tax on these people, it would not matter at all because they will already be paying the AMT
The dirty secret about Obama’s tax plan. The AMT inflation adjusted is more important to the middle class.

http://seekingalpha.com/article/97891-stop-yelling-about-fdic-limits-in-fact-just-stop-yelling
The public policy behind FDIC insurance is to provide a safety net to small depositors who don’t have the ability to do bank credit analysis.
FDIC insurance works well for small depositors. No small depositor has lost money in a bank account since the FDIC was established and small depositors don’t’ have to be bank credit analysts. The $100,000 insurance limit covers the deposits of most citizens and businesses in America. And, for most depositors that have more than $100,000, it is easy to split up deposits between institutions so that each insured deposit is under $100,000.
FDIC insurance is supposed to protect depositors, not undercapitalized banks.
The rationale for expanding FDIC insurance is to protect undercapitalized and non-competitive banks from the harsh reality of their actions and financial position. That isn’t the purpose of FDIC insurance and the public mission of the FDIC shouldn’t be expanded to protect bad banks. Large depositors are supposed to evaluate the credit of their banks and not do business with banks that are crummy credits. The essence of market discipline is that bad credits can’t borrow money and it shouldn’t be any different for banks. If commercial banks want to deal with large businesses, then they need to make sure that they have the appropriate capital base and are a good credit risk. This isn’t the first time in American history that large commercial depositors have had to decide which banks are acceptable and which are not. Such is the meaning of market discipline.
The problem of $100,000 insurance limits isn’t even a real problem. There are good private and public alternatives that extend FDIC limits.
Banks that belong to Promontory Interfinancial Network can offer banking deposits up to $50 million that qualify for FDIC insurance. There are approximately 2,500 institutions that belong to Promontory and are able to provide FDIC insurance on very large deposits. Using a $1 million deposit as an example, through the Promontory system, the deposit is split up among 10 institutions and therefore gets the full benefit of FDIC insurance. By the way, Promontory’s most well known founders are Eugene Ludwig (former Comptroller of the Currency) and Alan Blinder (former Vice Chairman of the Federal Reserve). This is a very legitimate and well known system for extending FDIC insurance. In fact, in today’s local paper where I live, the Sun Sentinel, there are ads from banks that are in the Promontory system touting the fact that they can offer deposit services for up to $50 million. Banks that don’t offer this coverage are doing it by choice and the Federal government doesn’t need to change the FDIC insurance limits to compensate for this decision.
There are public alternatives as well. As an example, savings banks in Massachusetts belong to the DIF insurance pool which insures all deposits (regardless of size) and acts as a supplement to FDIC insurance. DIF is state sponsored and has existed since 1934.
And, there are a wide range of additional solutions that large depositors can utilize if they want to keep their deposits at banks that they are concerned about. There is private credit protection that can be purchased and effectively supplements FDIC insurance. So, for a fee this issue of FDIC limits goes away. And, by the way, the banks that are weak and accepting deposits can arrange for private insurance and credit protection for their customers. They don’t need the Federal government to compensate for their decision not to purchase private insurance”
So this is Obama’s big plan.This would solve everything huh? How naive is this guy????

What difference does this make? The FDIC has historically covered deposits without regard to the cap. While raising the cap certainly sounds nice, ultimately it is nothing more than a sound bite.

Obama’s latest suggestion truly illustrates that he is CLUELESS!
1. For starter FDIC insures saving accounts, not checking accounts. Small business keeps their money in checking accounts to make payroll or buy inventory.
Increasing the FDIC limit does not help small business.
2. people with more than 100K do spread that money among many banks to get FDIC insurance. Those who chose to put all their money in one bank did so at their own risk. They deserve to lose that money.

Increasing FDIC coverage does not help the average taxpayer. Raising FDIC to $250,000.00 only helps the rich and business that Obama wants to tax at a higher rate. It is another losing scheme to divert the voters from the truth about the financial crisis.
Here is what the American people are saving:
http://www.usatoday.com/money/perfi/general/2006-03-01-savings-cover-usat_x.htm
There is no definition for the Middle Class. It is just another distortion by Obama and the Democrats.
After a thorough investigation, there is no doubt in backing and voting for
Ralph Nader.
http://www.votenader.org/about/
NO…. NO…. NO WAY Obama. McCain is on the back burner. Obama failed our investigation. McCain did somewhat better.

McCain keeps talking about Obama. Obama keeps talking about SOLUTIONS!
Obama/Biden 08!

The tax payers are bailing out the banks That means the banks are supported by the taxpayers. The banks pay the premiums with money in the bailout, Now who looks foolish. The tax are paying for everything. Obama cannot get it!
Besides: Effective 1 April 2006 FDIC covers IRA balances up to $250,000 at one insured bank. FDIC coverage remains at $100,000 for nonqualified accounts (FDIC also said this limit will not increase for the foreseeable future).
What if Jack had $80,000 in his checking account and another $80,000 in CDs at the bank?
Assuming both accounts were owned and titled by only Jack, $60,000 of the total would be uninsured deposits because the total ($160,000) is $60,000 over the $100,000 FDIC insurance limit.
What if Jack had $80,000 in his checking account at one bank and $80,000 in CDs at another bank?
Both accounts are covered because FDIC provides $100,000 of coverage for each bank.
What if Jack had $80,000 in his checking account and another $180,000 in his IRA at the bank?
Both accounts are covered because Self-Directed Retirement Accounts (IRAs and SEPs) are treated as separate titled accounts and FDIC provides $100,000 of coverage for Jack’s checking account and $250,000 for Jack’s IRA.
What if Jack had $80,000 in an old IRA and another $80,000 in a SEP at the same bank?
It appears both would be covered because both are IRAs and the total is less than $250,000.
We do not need Obama’s wind.
After a thorough investigation, there is no doubt in backing and voting for
Ralph Nader.
http://www.votenader.org/about/
NO…. NO…. NO WAY Obama. McCain is on the back burner. Obama failed our investigation. McCain did somewhat better.

Since so many people, keep saying the 250K increase won’t help struggling people:
people have been taking out money over 100K. If a lot of people do that, it will leave less money for YOU.
Thus, raising the limit helps calm fears, and people will be leaving their money in banks… more for everyone to use.
A very smart move by Sen Obama.

If I had sufficient FDIC insurance on my accounts, I would stop withdrawing so much at one time.
Foreign accounts serve me better in times like this.

Ralph Nader. LOL. What an ego this whack-job has! Give it up, Ralph. You are not even a has-been; more like a “never-was.”

Listen. The point of this is NOT to help individuals (did you read the whole article?), it’s to help keep small businesses and banks from going under. Businesses with savings between $100,000 and $250,000 will be more inclined to invest more money in their banks, because of the FDIC guarantee they won’t cut jobs or anything. This helps to keep more banks from going under. You may not think this is a good idea, but your boss probably does, and he/she’s the one who cuts your paycheck and decides whether or not you’re out on the street.
But ultimately this is a reach across the aisle to small-business-minded and bank-minded Republicans in Congress to try to get the votes needed to pass this bill and save Wall Street (and help Main Street as well). It’s about playing politics, but in a democracy that’s what government is all about. If you don’t like it move to a dictatorship or some anarchic society and see how you fare.
And another thing. For all you people who say “Obama plagiarized this plan,” well, DUH! He’s not an economist – that’s not his background. As the leader of this country his job is to drum up a team of experts, take a look at all the plans that various people have proposed, choose the best one, and make the case to the American people. Leadership doesn’t mean coming up with everything yourself. It means taking national responsibility (and the potential fall) for ideas that may or may not work.

Remember, a lot of people who would keep their money in American banks do not because their money is only insured up to $100K. This suggestion needs to be further analyzed by REAL economist and financial analyst and lay out its pros and cons. At least it is an idea, an idea aimed at individuals and small businesses. It is something to stop the potential trillion dollar a day losses the economy experienced yesterday.

It’s such a good suggestion, McCain has already tried to steal it and take credit. Heh.

As a small business owner I think its a good idea because presently I have my money with banks that have FDIC insurance. I am glad I did not put all my money in one bank because today I will be pulling my hair out.

Brilliant Idea! Watch – soon McCain and Bush will be taking credit for it. Then they will blame Obama for the current crisis, for 9-11, and they will even blame him for Pearl Harbor.

It is not going to help people with dwindling asset values, but it sure will boost confidence. That is what we are lacking now. But to grow the economy, housing MUST be fixed.

Good idea Obama!
As a small business owner, I think this is a great idea and will help me sleep a bit better at night!!
Good work Obama. Maybe McCain will steal your idea (again).
I am waiting for him to suspend his campaign to go down with the ship, just like a good Navy guy…

Heard this from News Radio.
This is the first time I heard both candidates get it right. This increase in FDIC limit is long overdue. Now is the time to protect savers, not speculators.
Banks will definitely benefit it too.
It will also raise the confidence (now is much needed) in general public in our banking system.
Let’s put politics aside, this idea is welcome by all working Americans.

McCain: “Hey, that’s my idea!”

There are actually people her ewho think Obama came up with that idea first? just like his inflating tires ideas?
The point is it shows Obama is a lightweight with NO plan. Obama throws out something that has been around a long time like some kind of brilliant plan.

FDIC Insurance for Retirement Accounts Increased to $250,000
Higher coverage takes effect April 1; Basic insurance limit for other accounts stays at $100,000
FOR IMMEDIATE RELEASE
March 14, 2006 Media Contact:
David Barr (202) 898-6992
dbarr@fdic.gov
The Federal Deposit Insurance Corporation (FDIC) Board of Directors today approved final rules that will raise the deposit insurance coverage on certain retirement accounts at a bank or savings institution to $250,000 from $100,000. The increase, the result of a new law boosting federal deposit insurance coverage for the first time in more than 25 years, will become effective on April 1. The basic insurance coverage for other deposit accounts, however, will remain at $100,000.
“The increase in deposit insurance coverage on certain retirement accounts is a significant change,” said Martin J. Gruenberg, Acting Chairman of the FDIC. “The FDIC is committed to helping depositors understand clearly the change that has been made and how it will affect the deposit insurance coverage for which they are eligible.”
Under the FDIC’s new rules, up to $250,000 in deposit insurance will be provided for the money a consumer has in a variety of retirement accounts, primarily traditional and Roth IRAs (Individual Retirement Accounts), at one insured institution. Also included are self-directed Keogh accounts, “457 Plan” accounts for state government employees, and employer-sponsored “defined contribution plan” accounts that are self-directed, which are primarily 401(k) accounts. In general, self-directed means the consumer chooses how and where the money is deposited.
In addition, the IRAs and other retirement accounts that will be protected under the new rules to $250,000 are insured separately from other accounts at the same institution that will continue to be insured up to at least $100,000. To learn more about FDIC deposit insurance, see the resources listed later.
The new law also established a method by which the FDIC would consider an increase in the insurance limits on all deposit accounts (including retirement accounts) in the future, but only every five years starting in 2011. Any such increase would be based, in part, on inflation. Otherwise, accounts will continue to be insured as described above.
Obama the economic genius went back in time and raised the limit for retirement accounts.

This is to poster “Obama=Pelosi=Losers”
I would love to hear your suggestion
instead of your blood thristy hatred for Obama, I have yet to hear anything from you other than the negativity you spewing, make a suggesttion or are you too blided by your man-love or McCain.
People that support McCain/Palin are either racist or idiots. Which one are you?

“Obama the narcissist is just seeking attention” says ml.
Right. Whereas…. McCain’s lookit me suspend my campaign! Lookit me change positions every ten seconds! Lookit me going to Washington when delicate negotiations are in progress and then sitting there like a dodo! Lookit me with the pretty lady VP choice I made!
Gee, ml, certainly THAT’s not attention seeking. LOL.
Barack Obama consistently shows he cares about this country, and consistently makes concrete suggestions for helping America go forward. I’m happy to give Mr. Obama my attention, and my vote.

This lifting of FDIC limit came up during our lunch conversation. Everybody think that this is a good idea; doesn’t matter who proposes it first. At the same time, we are realistic that this proposal will die as well, due to politics.
Just like to know which party and which congressman are against it.

Raising the FDIC is a ploy. Anyone that has money knows to put it in multiple accounts. The only thing this will be good for is to make less accounts. I wish everyone would snap out of their trance. It is a crap attempt for political recognition.

While Barack “if you need me call me” Obama was too busy campaigning to work on the bailout deal, John McCain had already proposed a hike of the max amount protected by the FDIC. Why didn’t ABC, CBS, CNN, and other’s carry that little bit of news? Fair and balanced my a**

geevill …you would think you read some of the stuff you post if for no other reason than yo put in its proper context. You obviously have a lot of time on your hand. Do you need a job? Doing what?

I find myself amused by geevill’s comments. Fervently opposed to the idea, his comments fade as McCain supports the idea.
If you have money, if you run a business, then you know this is a good idea in principle.
Oh, and by far the funniest post “liberal latte drinking elite” was directed in my direction. Never had a latte (i take my coffee black). Am probably as fiscally conservative as they get. And odds are slim to none that I’ll vote for Obama or McCain.
It’s better if you stick to things you actually know something about because the people on here who are actually knowledgable will think you’re an idiot.

There is NO PLAGIARISM, people. Raising the FDIC limit is an IDEA. IDEAS cannot be plagiarized, it belongs to the entire human community.

Good post Chuck, see how these libs fall for anything.

Bombem and Chuck:
Perhaps not many individuals on Main Street have $250,000 in the bank, but I bet there may be a lot of small businesses on Main Street who do.

News Flash to those who know nothing about economics. While raising the FDIC deposit insurance sounds like a good idea, there are some serious concerns with doing so. Yes, I agree it has not been adjusted for inflation since the early 1980′s when it was raised from 40,000 to 100,000. However, with that, and prior to the FDIC insuring S&L’s, there was the Federal Savings & Loan Insurance Corporation. The FSLIC did not have enough funds to mitigate the damages that resulted from losses of the S&L’s. With respest to moral hazard (providing incentive to financial institutions to make risky decisions due to the FDIC insurance on deposits), this could be seen as something that just allows banks and individuals to become relaxed when it comes to making sound financial decisions because they just assume the government will always be there. I believe Obama is making a good decision, however, moral hazard should really be taken into account.