WaMu RIP
Written by: Aaron Katsman | September 26, 2008
” A friend of the family” - that used to be the slogan for WaMu back in the day when it was a small community bank. My first passbook account was with the company, and I remember taking my hard earned ( not really but that’s another post) paper route money, that I managed to collect from subscribers, and deposit it in the bank. The smile I would receive from the teller is still ingrained in my memory, as she would make some kind of comment about how much money I made this month, and she hoped I would make even more the next month.
That was about 25 years ago. Apparently not much had changed with the bank as customers were still greeted with a smile and left with the blessing that hopefully next month they will be depositing even more money. 25 years ago the smile was genuine, today the smile was a bit more sinister. When a bank lends money to customers who clearly have no means with which to pay back their loan, about the only way the client will be able to afford to keep his house is through a prayer. For WaMu the prayers weren’t answered.
If you want to focus on the ‘greater’ economy, then the failure of WaMu, is a good thing. After all, any company that acts totally irresponsibly and without accountability should be left to go bankrupt. But for me personally the end of WaMu is sad, and it closes another chapter of my youth.
Please see our Disclaimer HERE.
Aaron Katsman is Managing Editor of the Israel Opportunity Investor newsletter. He is lead portfolio manager for the Israel Growth Portfolio and Managing Director of America Israel Investment Associates, LLC. For more information, go to www.israelnewsletter.com or call 1-888-327-6179, or email aaron@profile-financial.com.
Share with others:
