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What's Happening To Smaller Banks?

Very interesting article that discusses what is happening to smaller banks and how new regulations are affecting them.

I am in a Credit Union not sure if it is safe but oh, well.

http://www.ino.com/blog/2013/10/whats-happening-to-the-small...



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My credit union

here in NC has started acting a lot nicer and offering other benefits like free checks.I don't think there is any thing nefarious about this though.Maby they just had a pep talk from up stairs.I like the $15.00 savings on the checks though.

I love liberty like fresh cool air in my lungs.I love freedom like fresh cool water on my tongue.I love peace like the smooth skin of my sweet lady.And Dr.Ron Paul is the hero I believe will change the world.

In our nearest little town

There were only two banks, Bank of America and a local credit union. The B of A just folded and the credit union took over their larger building as the only bank in town. A win for our credit union.

If I disappear from a discussion please forgive me. My 24-7 business requires me to split mid-sentence to serve them. I am not ducking out, I will be back later to catch up.

Information!

http://www.dailypaul.com/302833/international-credit-union-d...

Father - Husband - Son - Spirit - Consciousness

Thanks for posting this

But you're acting like a psychopath.

What ever happens to a Building & Loan Widow? Mrs Bailey?


It's a Wonderful Life, Widow Scene. Circa 1946.

Disclaimer: Mark Twain (1835-1910-To be continued) is unlicensed. His river pilot's license went delinquent in 1862. Caution advised. Daily Paul

Most CUs have master accounts at JP, WB or BoA

Make sure you know where your CU's master account is before assuming you are safe.

Really?

Credit Unions are owned by their members and are non-profit.
And CU's do invest of course, but due to regulations and policies, commercial bank investments including certificates of deposit are limited to no more than 20% of the total portfolio. Further all accounts must be insured, which doesn't mean much in recent history, yet 20% limits, help to diffuse exposure in case of unforeseen issues.

So really, you are spreading rumors and have no idea of what you are talking about.

Is your real name Jamie Dimon?

Before you reply...

....why don't you ASK your CU what bank they keep their master account in and FIND OUT FOR YOURSELF?

It's in the charter goofball!

Spirit of 76?
More like demon of 1984.
What a joker.
Go kiss a banker's butt.

Like I said.

Just ask and find out for yourself.

For those reading this, don't believe me, don't believe mrmikemrmike, FIND OUT FOR YOURSELF.

I love when I get criticism from people like mrmike on posts or replies that encourage people to find out for themselves. It's quite revealing. :)

Yes please go find out and then join a CU

You'll be happy that you did, knowing that your membership invests in the local economy and that the CU charters are organized to limit risk to the CU's investment portfolio.

And no business venture is perfect but CU's offer a choice which you'll find is far from predatory compared to commercial banks.

Nice strawman.

I never brought up anything about portfolio risk. I spoke of where the money is DEPOSITED - and nothing more.

I further asserted that MOST CUs deposit their depositors money in a CU master account in a large bank. This is a true statement and verifiable by any CU depositor. (Ask, "in which bank does this CU have its master account?")

So, good try, Mr. Mike, in your attempt to change the subject to risk management of the CU's investment portfolio, a subject I never addressed.

I don't know why you care so much and, further, I'm asking people to NOT believe me (nor you), but to GO FIND OUT FOR THEMSELVES, so they can be fully informed and so they can manage their OWN risk.

Master account? Assets are diversified - Chartered like a Bank

The solution to the big banks and countering the FED is investment in community banks and credit unions. So if you are wondering why I care? It is because I actually have done the research and I tired of being a victim. I further talk the talk and walk the walk.

You want to fight for liberty without violence then people need to put their dollars where people can support free market economics and local economies.

Credit Unions need not deposit in BofA anymore than Wells Fargo deposits in BofA! Also CU's are not permitted to invest in Banker’s banks or uninsured holding companies. CU's are chartered for financial transactions directly with the US Treasury and Federal Reserve. Furthermore, CU's don't need the big banks! The CU's are in competition with them.

I suggest you look up the laws governing CU's, you may actually learn something about how these financial institutions are regulated in the US.

When it comes to cash, the master account if any, or as you put it, is the regional FED unfortunately, not Chase or Barclay's. CU's are chartered institutions.

So assert all you wish. Your attempt to disparage CU's was bogus and ridiculous.

It's in the charter goofball!

Spirit of 76?
More like demon of 1984.
What a joker.
Go kiss a banker's butt.

Correction**

Credit Union's are Not-For-Profit. Credit Union's house and establish/hold Non-Profit memberships but they themselves are not Non-Profit, they are Not-For-Profit - big difference.

Father - Husband - Son - Spirit - Consciousness

No correction**** You just redefined an NPO

NPO's can take different forms based upon the goal or Articles of the Trust/Organization. A Church for example has differences than a Credit Union but they are still govern by section 501(c) in the Internal Revenue Code.

Nice try....

Church and Credit Union comparison...

weak...Credit Union's do not accept offerings and tithing and charity...they are owned by members and supported by the funds of those member/owners.

Father - Husband - Son - Spirit - Consciousness

Why not? You are?

Pen you are the one trying to redefine 501(c). I could have used any of the diverse 2 dozen or so NPO subset's. In the US, a not-for-profit is defined causally as a type of NPO based on tax exempt status. No profit is realized to shareholders and 501's are generally defined as an NPO.

Stop splitting hairs. Tax exempt is tax exempt.
To call me weak is insulting.

Technically speaking...

Not-for-profit status[edit]

In the credit union context, "not-for-profit" is not the same as for a "non-profit" charity or similar organization.[22] Credit unions are "not-for-profit" because their purpose is to serve their members rather than to maximize profits.[23][24][25] But, unlike charities and the like, credit unions do not rely on donations, and are financial institutions that must perforce make what is, in economic terms, a small profit (i.e. "surplus") to remain in existence.[26][27] According to the World Council of Credit Unions (WOCCU), a credit union's revenues (from loans and investments) must exceed its operating expenses and dividends (interest paid on deposits) in order to maintain capital and solvency[28] and "credit unions use excess earnings to offer members more affordable loans, a higher return on savings, lower fees or new products and services".[citation needed]

WOCCU's position is deeply rooted in global credit union history. F.W. Raiffeisen, the founder of the global movement, wrote in 1870 that credit unions "are, according to paragraph eleven of the German law of cooperatives, 'merchants' as defined by the common code of commerce. They accordingly form a sort of commercial business enterprise of which the owners are the Credit Unions' members".[29]

Father - Husband - Son - Spirit - Consciousness

Whatever ... Technically

"The National Center for Charitable Statistics (NCCS) is the national repository of data on the nonprofit sector in the United States."

http://nccs.urban.org/about/index.cfm

"What are nonprofit organizations?

Formal organizations in the United States are typically thought about in three broad categories:a) Business and industry, or "for-profit" organizations;b) Government, including state, local, and federal agencies that provide services and regulation;c) Nonprofit organizations, that qualify for tax-exempt status under the Internal Revenue Code because they are organized for the specific purposes stated in the Code. Although there are legal distinctions among nonprofit organizations and different reporting requirements, all are exempt from paying federal income taxes. About half of nonprofits - called charitable organizations - are exempt under Section 501(c)(3). This status permits donations to charities to be tax-deductible to the donor."

http://nccs.urban.org/resources/faq.cfm

Then there's the Basics:

"In a technical sense, it's probably correct to say there is no significant difference between the two terms. State "nonprofit" or "not-for-profit" corporation statutes sometimes use both terms side by side to suggest they are synonymous.

The IRS does make one distinction though. In some publications, the IRS explains that for them "not-for-profit" refers to an activity, for example, a hobby (like fishing). In contrast, "nonprofit" refers to an organization established for purposes other than profit-making. Note: nonprofit does not necessarily mean "charitable."

http://www.idealist.org/info/Nonprofits/Basics1

Oh no some more carelessness:

"The IRS views a non-profit corporation as companies that runs its business for the good of the public. The designation alone suggests its goals are not motivated by making money. The objective of the IRS is to reward these corporations by not requiring them to pay any federal taxes. However, there are many guidelines that these companies must abide by in order to maintain their tax-exempt status.

The Facts
A non-profit corporation is formed for the purpose of serving a purpose of public or mutual benefit other than the pursuit or accumulation of profits. There are over 1.5 million registered non-profit corporations in the United States today. The IRS grants them a tax exemption status on the condition that they conduct their business as agreed upon while operating within the rules established by the government agency.

Types of Non Profit Corporations
For a corporation to apply for a non-profit designation, it must fit into several organizational categories detailed by the IRS. Each organization has a sectional code attached to it. The organizations are: charitable organizations, whether public or private (Section 501(c) (3)), social welfare organizations (section 501(c) (4)), agricultural/horticultural organizations (section 501(c) (5)), labor organizations (section 501(c) (5), and business leagues or trade associations (section 501 (c) (6)). Non-profit corporations operate for purposes that are religious, artistic, literary, charitable, scientific, educational and in the interest of public safety."

Read more: http://www.ehow.com/about_5217394_irs-definition-non-profit-...

Also:
"A 501(c) organization, also known colloquially as either a 501(c) or a "nonprofit", is an American tax-exempt nonprofit organization. Section 501(c) of the United States Internal Revenue Code (26 U.S.C. § 501(c)) provides that 29 types of nonprofit organizations are exempt from some federal income taxes. Sections 503 through 505 set out the requirements for attaining such exemptions. Many states refer to Section 501(c) for definitions of organizations exempt from state taxation as well."

http://en.wikipedia.org/wiki/501(c)_organization

And "Technically", if I recall, the term "not-for-profit" doesn't even exist in the 501 Code; hence my aversion to your initial comment. Furthermore, the idea that any NPO operates with no profits, as you put it, is a bit of a red herring. Every NPO has a rainy day fund of some kind. This is why "Tax-Exempt" is technically the correct description and "not-for-profit" is just another casual way of describing a myriad of 501(c) organizations.

Hard to believe a credit union would allow someone with your skill in personal interaction to even be directly involved with the public. Pretty scary to think what the customer service experience might be like.

Hope you enjoy "winning".

No correction correction**

Not-For-Profit means the Credit Union makes a profit to cover overhead, wages, utilities, administrative costs, maintenance and still can invest for growth in order to harness and progress cooperative and pooled funds.

Non-profit means NO profits!

Nine years in finance...would you like expand on what I do not know?

Father - Husband - Son - Spirit - Consciousness

Hey sour grapes, I mean Pen, give it up.

You HAVE no idea about what you are talking about?

Your endless pursuit in commenting on details which includes the world council on CU's is shockingly pathetic and sad.
Take your NWO trolling somewhere else.

Or invest some more years in finance, then you'll be able to count how many times you have been wrong in your life.
Frankly NPO terms accepted by US Code and those acceptable in other countries are not at debate here.

In the USA, and most other countries, an NPO is an NPO jack ass.

Go lick Jamie Dimons butt.

Irreconcilable difference in view...

I've worked in Finance for 9 years and for Credit Union's for most of that...not a troll and far from it...

your response lacks tact and the language is really unnecessary.

Father - Husband - Son - Spirit - Consciousness

Big difference? - Yes Pen, I lack tact.

Yet nick-picking or nick picking or nic-picking NPO status was really a shot to downplay the usefulness of CU's in the liberty movement.

Wasn't it?

Or why even bring it up without a complete explanation of the term Not-for-Profit which is recognized as a form of or derivative of non profit NPO status. You purposely jabbed and tried to deflect rather than admit a Non-for-Profit, by definition is a type of Non-Profit Organization (NPO). How funds are required by US Code to be used and in the event of dissolution how funds are to be distributed.

I may lack tact, yet you seem to have none. Instead of improving the conversation with your years of experience and explaining that vast advantages in using CU's to combat the vipers in the banking cartel you chose to argue apple and oranges.

Yes unfortunately you are troll. And the language I use is there to match your maturity on the issue. You might as well have be arguing whether or not Major League Baseball is a professional sport because it has an anti-trust exception. Be my guest, look up Not-for-Profit in the US Code and IRS Tax Code.

If you wish nick-pick go ahead, but I suggest you don't do it in a bar. You won't get laid and might end up with a black-eye.

That's the BIG DIFFERENCE, I care about making a difference, you care more about being a jerk.

ehhemmm..

"Yet nick-picking or nick picking or nic-picking NPO status was really a shot to downplay the usefulness of CU's in the liberty movement.

Wasn't it?"

Not their usefulness, but your carelessness with foundational accuracies.

I have been caring about making a difference for over 7 years as a member/owner and employee of two Credit Unions...

Father - Husband - Son - Spirit - Consciousness

Whatever ... Technically I guess many are careless

"The National Center for Charitable Statistics (NCCS) is the national repository of data on the nonprofit sector in the United States."

http://nccs.urban.org/about/index.cfm

"What are nonprofit organizations?

Formal organizations in the United States are typically thought about in three broad categories:a) Business and industry, or "for-profit" organizations;b) Government, including state, local, and federal agencies that provide services and regulation;c) Nonprofit organizations, that qualify for tax-exempt status under the Internal Revenue Code because they are organized for the specific purposes stated in the Code. Although there are legal distinctions among nonprofit organizations and different reporting requirements, all are exempt from paying federal income taxes. About half of nonprofits - called charitable organizations - are exempt under Section 501(c)(3). This status permits donations to charities to be tax-deductible to the donor."

http://nccs.urban.org/resources/faq.cfm

Then there's the Basics:

"In a technical sense, it's probably correct to say there is no significant difference between the two terms. State "nonprofit" or "not-for-profit" corporation statutes sometimes use both terms side by side to suggest they are synonymous.

The IRS does make one distinction though. In some publications, the IRS explains that for them "not-for-profit" refers to an activity, for example, a hobby (like fishing). In contrast, "nonprofit" refers to an organization established for purposes other than profit-making. Note: nonprofit does not necessarily mean "charitable."

http://www.idealist.org/info/Nonprofits/Basics1

Oh no some more carelessness:

"The IRS views a non-profit corporation as companies that runs its business for the good of the public. The designation alone suggests its goals are not motivated by making money. The objective of the IRS is to reward these corporations by not requiring them to pay any federal taxes. However, there are many guidelines that these companies must abide by in order to maintain their tax-exempt status.

The Facts
A non-profit corporation is formed for the purpose of serving a purpose of public or mutual benefit other than the pursuit or accumulation of profits. There are over 1.5 million registered non-profit corporations in the United States today. The IRS grants them a tax exemption status on the condition that they conduct their business as agreed upon while operating within the rules established by the government agency.

Types of Non Profit Corporations
For a corporation to apply for a non-profit designation, it must fit into several organizational categories detailed by the IRS. Each organization has a sectional code attached to it. The organizations are: charitable organizations, whether public or private (Section 501(c) (3)), social welfare organizations (section 501(c) (4)), agricultural/horticultural organizations (section 501(c) (5)), labor organizations (section 501(c) (5), and business leagues or trade associations (section 501 (c) (6)). Non-profit corporations operate for purposes that are religious, artistic, literary, charitable, scientific, educational and in the interest of public safety."

Read more: http://www.ehow.com/about_5217394_irs-definition-non-profit-...

Also:
"A 501(c) organization, also known colloquially as either a 501(c) or a "nonprofit", is an American tax-exempt nonprofit organization. Section 501(c) of the United States Internal Revenue Code (26 U.S.C. § 501(c)) provides that 29 types of nonprofit organizations are exempt from some federal income taxes. Sections 503 through 505 set out the requirements for attaining such exemptions. Many states refer to Section 501(c) for definitions of organizations exempt from state taxation as well."

http://en.wikipedia.org/wiki/501(c)_organization

And "Technically", if I recall, the term "not-for-profit" doesn't even exist in the 501 Code; hence my aversion to your initial comment. Furthermore, the idea that any NPO operates with no profits, as you put it, is a bit of red herring. Every NPO has a rainy day fund of some kind. This is why "Tax-Exempt" is technically the correct description and "not-for-profit" is just another casual way of describing a myriad of 501(c) organizations.

Hard to believe a credit union would allow someone with your skill in personal interaction to even be directly involved with public. Pretty scary to think what the customer service experience might be like.

Hope you enjoy "winning".

This isn't personal interaction - it is faceless dialogue.

"Hard to believe a credit union would allow someone with your skill in personal interaction to even be directly involved with public. Pretty scary to think what the customer service experience might be like.

Hope you enjoy "winning"."

And it's member service, not customer service.

Peace.

Father - Husband - Son - Spirit - Consciousness

no actually it's "member services experience"

but once again, whatever...

Wow, thanks

I didn't know that, it's always something.

"We can see with our eyes, hear with our ears and feel with our touch, but we understand with our hearts."

The Savings and Loan Crisis killed them on purpose.

"The savings and loan crisis of the 1980s and 1990s (commonly dubbed the S&L crisis) was the failure of about 747 out of the 3,234 savings and loan associations in the United States. A savings and loan or "thrift" is a financial institution that accepts savings deposits and makes mortgage, car and other personal loans to individual members – a cooperative venture known in the United Kingdom as a building society. In 1995, the RTC had closed 747 failed institutions, worth a book value of $402 billion, with an estimated cost of $160 billion.[1] In 1996, the General Accounting Office estimated the total cost to be $370 billion, including $341 billion taken from taxpayers.[2]"

https://en.wikipedia.org/wiki/Savings_and_Loan_Crisis