A lot of ink has been spilled on the Cyprus crisis this week. And my colleague Tom Essaye did a great job covering many of the particulars. He also discussed the very real possibility of contagion selling and bank runs spreading to other parts of Europe.
But to me, the single most important fact about the crisis is that it reveals the sorry fundamental state of so many banks both here and abroad. It also confirms what many of us have suspected all along …
Specifically, by moving to raid the bank accounts of Cypriots rich and poor, European policymakers have proven that they can — and will — stick it to even bank depositors in an attempt to maintain the status quo and prop up failing institutions. And THAT is a huge new precedent you need to be aware of, and take steps to avoid becoming the next victim!
by Tom Essaye
Risks in Europe have once again flared up, this time from the tiny island of Cyprus. European Union (EU) leaders granted Cyprus a bailout over the weekend. But in an unprecedented step they required a one-time tax on checking and savings accounts held by citizens and businesses in Cyprus in return for the bailout
by Mike Burnick
Yet another European Union (EU) crisis flare-up, this time in Cyprus, is roiling global financial markets again as European finance ministers, in cahoots with the Cyprus government, conspired last weekend to pull off an unprecedented bank heist.
by Larry Edelson
Right now, I remain bearish most commodity markets. The reason being, they simply have not fulfilled a short-term cyclical test of support. So, more downside is possible in gold, silver, oil, and an assortment of other commodities.
by Weiss Ratings
Believe it or not … according to the Federal Reserve, the net worth of U.S. households rose by $1.17 trillion (9 percent) last year bringing family balance sheets to the highest level since 2007. Seems the steady rise in home values, stock market gains, and an increase in savings were major contributors to this boon for household wealth.
by Nilus Mattive
Every March I try to focus a lot of attention on tax issues because they can have a profound impact on your finances. Moreover, our nation’s tax code is so convoluted that people often find themselves in tough spots after it’s too late to do anything differently.
by Weiss Ratings
Franklin Savings Bank received a Weiss Financial Strength Rating of A- (Excellent) based on Q4 2012 data. With this rating update, Franklin Savings remains the only bank in Maine with a Weiss rating in the A range. Franklin Savings Bank was founded 145 years ago. The community bank has $329 million in assets and eight locations.