It does beat a federal bailout, though.

My recollection appears to be correct that around 2003 (five years ago) they adopted bad business practices.

Anybody in the know that would have a idea about what happened to them between 2001-2003?

Once the house sold and loan paid off, I vowed never to do business with them again. Not surprised they went under…

My bank is gone…….

Should I consider shopping for a bargain house?

Or, should I just start moving my investments to S/T Yen/Euro currency since the dollar will continue its slide? In other words, protect against USD but with liquidity still.

I’m thinking bagging a bargain house might be in my future and then sell it after 10 years and use it as a base for my traveling contractor work.

If you read the LA Times, WaMu would probably have weathered this — had there not been a run on the bank.

unclesmrgol on September 26, 2008 at 11:02 AM

That may be true, but any failing business would have not failed if the customers kept using it. What is the point?

JiangxiDad on September 26, 2008 at 11:06 AM

The point is that WaMu didn’t die of self-inflicted wounds, it was killed. Someone at FDIC made a judgement, probably with a little help from JPMorgan, and the shareholders at WaMu are stripped of their assets. The run on the bank was caused by all the press about the possibility of WaMu failing — and who generated all that press?

[FYI, I am not a WaMu shareholder, my mortgage is with them, and that mortgage is not about to disappear. I would have bought it for 2cents on the dollar like JPMorgan did, but I wasn't offered the chance. None of us will be.]

Something stinks like a dead fish here, and it isn’t John McCain, no matter what Obama says.

Romeo13 on September 26, 2008 at 11:30 AM

I don’t know the exact enforcement powers of the Office of Thrift Supervision, but they exist, and for good reasons.

When companies go out of business they are are rarely innocent victims.

The market is a cruel teacher.

WaMu was SEIZED by the government, and then SOLD?

HUH? This is NOT Capitalism at work, this is the government deciding winners and loosers.

Wow, they are not even really PRETENDING we are a Free Market economy any longer…

SEIZED then SOLD! WOW!

I so love irony.

But the way I understand it is that the FDIC moved and and said “Here’s your deal!” Those are mafia style tactics.

angelat0763 on September 26, 2008 at 11:03 AM

Another commenter, Rockmom I think, said the same. Would be curious to find out exactly how this played out. Thanks

Heck, my grandmother worked for Boeing and was one of the first customers when WaMu started up.

A very sad thing. I’m glad it worked out so well, I admit I was a little worried and so had withdrawn enough cash to cover my rent and utilities for next month, just in case. (I didn’t really expect any problems, but figured I’d best make preparations).

If you read the LA Times, WaMu would probably have weathered this — had there not been a run on the bank.

unclesmrgol on September 26, 2008 at 11:02 AM

That may be true, but any failing business would have not failed if the customers kept using it. What is the point?

Capitalism won’t work without sound regulation.

Why not?

Mr. Potter won this one, with the aid of all those little folk who have mortgages with WaMu and yet wouldn’t leave well enough alone. Hopefully they’ll like their new banker.

Exactly! Mr Potter JP Morgan isn’t selling. They’re buying.