Based Underground is now a conservative news aggregator AND curated newsletter.
(The Economic Collapse Blog)—It appears that the people running our system have decided that it is time for a wave of consolidation in the banking industry. A key program that was keeping U.S. banks afloat was allowed to expire last month, and everyone knew what that would mean. On Friday, the FDIC quietly announced that Republic Bank had been seized and a sale to Fulton Bank had already been arranged. Have you noticed that they often try to announce bad news like this on Friday?
By the time news of the failure of Republic Bank broke, many people had already started their weekends. And the FDIC probably assumes that most people will have forgotten all about this by the time Monday morning rolls around. But this was a big deal, and it is inevitable that more dominoes will soon start to fall.
Don’t wait for a stock market crash, dedollarization, or CBDCs before securing your retirement with physical precious metals. Genesis Gold Group can help.
At the time it was seized, Republic Bank had 32 branches in New Jersey, Pennsylvania and New York. The following comes directly from the FDIC announcement that was issued on Friday…
Philadelphia-based Republic First Bank (doing business as Republic Bank) was closed today by the Pennsylvania Department of Banking and Securities, which appointed the Federal Deposit Insurance Corporation (FDIC) as receiver. To protect depositors, the FDIC entered into an agreement with Fulton Bank, National Association of Lancaster, Pennsylvania to assume substantially all of the deposits and purchase substantially all of the assets of Republic Bank.
Republic Bank’s 32 branches in New Jersey, Pennsylvania and New York will reopen as branches of Fulton Bank on Saturday (for branches with normal Saturday hours) or on Monday during normal business hours. This evening and over the weekend, depositors of Republic Bank can access their money by writing checks or using ATM or debit cards. Checks drawn on Republic Bank will continue to be processed and loan customers should continue to make their payments as usual.
I think that a pattern is emerging that we will likely continue to see for future bank failures. Before this seizure was even announced, an agreement had already been made for a larger bank to swallow up the assets of Republic Bank.
Of course taxpayers didn’t exactly get off scot-free in this deal. According to the FDIC, this agreement is going to cost the Deposit Insurance Fund 667 million dollars…
As of January 31, 2024, Republic Bank had approximately $6 billion in total assets and $4 billion in total deposits. The FDIC estimates that the cost to the Deposit Insurance Fund (DIF) related to the failure of Republic Bank will be $667 million. The FDIC determined that compared to other alternatives, Fulton Bank’s acquisition of Republic Bank is the least costly resolution for the DIF, an insurance fund created by Congress in 1933 and managed by the FDIC to protect the deposits at the nation’s banks.
If only a few banks fail this year, the Deposit Insurance Fund will be able to handle it.
But what is going to happen if dozens of banks start to fail?
It has been clear for a long time that Republic Bank was in trouble.
They were sitting on “$262 million of unrealized losses on bonds”, and Republic’s stock price had fallen all the way down to 1 cent…
The bank’s stock price has tumbled from just over $2 at the start of the year to about 1 cent on April 26, leaving it with a market capitalisation below $2 million. Its shares were delisted from the Nasdaq in August and now trade over the counter.
Moving forward, we will want to keep an eye on other banks that are currently on shaky ground.
For example, New York Community Bank would have completely collapsed already if a group of investors had not been convinced to pump a billion dollars into that troubled institution…
Recently, New York Community Bank saw wild swings in its stock price as customers began pulling their cash from the regional lender after it said it had identified “material weakness” in the company’s controls. The bank got a $1 billion equity investment lifeline from investors, including former Treasury Secretary Steven Mnuchin’s firm, Liberty Strategic Capital, in March.
Of course it isn’t just New York Community Bank that is treading on thin ice.
Kevin O’Leary of Shark Tank fame is convinced that thousands of U.S. banks will fail during the years ahead…
In the next three to five years, thousands more regional institutions will fail. That’s why I don’t have a dime saved or invested in a single one.
One of the primary reasons why so many banks are on the brink of disaster is because we are facing a commercial real estate collapse of historic proportions.
In St. Louis, the tallest office building recently sold for 98 percent less than what it sold for in 2006…
Take, St Louis’s largest office building – its 44-story AT&T tower – for example. In 2006 this prime real estate sold for $205 million.
But that same now vacant skyscraper recently sold for around $3.5 million – a shocking 98 percent drop in value in less than two decades, the outlet reported.
The Railway Exchange Building, once the crown jewel of downtown St. Louis with its Famous Barr department store and sprawling offices, is also now an empty relic with peeling paint.
All over the nation, commercial real estate property values have fallen dramatically, and our small and mid-size banks are sitting on mountains of commercial real estate loans.
This story is not going to end well, and anyone that suggests otherwise is simply being delusional.
Meanwhile, more signs continue to emerge that the overall economy is rapidly heading in the wrong direction.
For example, Walmart just announced that it is closing two more stores…
Walmart is shutting another two stores next month – bringing the total closures announced this year to eight.
Bosses said the two stores – in California and Wisconsin – were not making enough money.
Walmart, which has already shut six in 2024, is among several major retailers to announce closures.
If bright economic times were ahead, Walmart wouldn’t be shutting stores down.
Just like everyone else, they can see what is coming.
Of course Joe Biden and his minions insist that everything is just great.
They are telling us that the economy is booming and that the unemployment rate is low.
But that is not the truth.
The Ludwig Institute For Shared Economic Prosperity analyzes the data provided by the federal government in order to calculate a “true rate of unemployment”…
Using data compiled by the federal government’s Bureau of Labor Statistics, the True Rate of Unemployment tracks the percentage of the U.S. labor force that does not have a full-time job (35+ hours a week) but wants one, has no job, or does not earn a living wage, conservatively pegged at $25,000 annually before taxes.
According to them, instead of an unemployment rate of “3.8 percent”, the true rate of unemployment is actually 24.2 percent.
Right now, there are countless people that continue to remain unemployed even though they are desperate to find a job.
Sadly, the employment market is only going to get tighter in the months ahead.
I am entirely convinced that global events will become extremely chaotic during the second half of this year, and that is going to have a devastating impact on our economy.
So whatever you need to do, I would encourage you to do it with haste.
Because the pace of events is not going to slow down for anyone, and it is much later than most people think that it is.
Michael’s new book entitled “Chaos” is available in paperback and for the Kindle on Amazon.com, and you can check out his new Substack newsletter right here.
TRENDING ARTICLES
OMG: O’Keefe Media Group Exposes Disney’s “Gender Expression Transitioning” Program
by Liberty One News
On Thursday, O’Keefe Media Group disclosed internal documents that uncover Disney’s Gender Expression and Transitioning programs. The G.E.T. program advocates for modifying one’s natural body, and the documents further expose Disney’s health insurance plans covering genital mutilation surgeries. Per James O’Keefe: REVEALED: O’Keefe Media reveals internal videos and documents exposing…
Track Coach Sues After Allegedly Being Fired For Opposing Policy Allowing Male Athletes In Female Sports
by Daily Caller
An Oregon high school track and field coach filed a lawsuit Thursday claiming he was improperly fired after stating that biological males had an unfair advantage against female athletes. John Parks was fired in June after sending a letter to the Oregon School Activities Association (OSAA) suggesting the regulatory agency…
“They’re Starting Brutal Attacks”: James Carville Says Cackling Kamala’s “Best Day” of the Campaign Is Already Behind Her
by The Liberty Daily
Democratic strategist James Carville on Wednesday declared the “best day” of Vice President Kamala Harris’ presidential run is already behind her. Biden abruptly withdrew from the presidential race on Sunday and endorsed Harris, who is running based on a Democratic Party insider vote with almost no primary voter approval, after…
5 Ways Kamala Harris’s Democrat and Media Enablers Are Gaslighting America
by Breitbart
Vice President Kamala Harris’s Democrat and mainstream media allies are gaslighting American voters in five ways as her presidential campaign gets underway with just over 100 days to election day. The manipulation is being carried out in various forms: the covering up of President Joe Biden’s apparent cognitive decline, claims…
Major Study of 9 Million Confirms COVID Shots Cause VAIDS
by Slay News
An explosive new study, which analyzed the data of nine million people, has sent shockwaves through the scientific community after proving that Covid mRNA shots are responsible for the global surge in cases of AIDS-like vaccine-acquired immunodeficiency syndrome (VAIDS). The peer-reviewed study was conducted by a team of world-renowned South…
The Secret Service Was Obviously Going to Be the Next Vehicle of the Deep State
by The Federalist
Was the assassination attempt a failure because Trump survived? Or was it a failure because he was shot in the first place? The since-resigned Secret Service director conceded before House lawmakers Monday that this month’s shooting of former President Donald Trump was the worst agency security failure since President Ronald…
Emhoff’s Ex Opens up About Kamala Parenting Her Kids
by Headline USA
Kerstin Emhoff, the first wife of Second Gentleman Doug Emhoff, has spoken up about the non-existent attacks aimed at Vice President Kamala Harris for having no biological children. In remarks to CNN on Thursday, Emhoff claimed that Harris has acted as a parent to her children, Ella and Cole Emhoff,…
Illegal Alien ‘Got-Away’ Accused of Killing Nashville Restaurateur Matt Carney
by Breitbart
An illegal alien “got-away” has been accused of killing 42-year-old Matthew Carney, the owner of the Smokin Thighs restaurant in Nashville, Tennessee, in a hit-and-run crash. Ulises Raigoz-Martinez, a 24-year-old illegal alien from Mexico, has been charged with criminal homicide, tampering with evidence, vehicle theft, criminal impersonation, and evading arrest…
Kamala Ran S.F. Program That Helped Illegals Who Were Arrested Avoid Deportation
by Headline USA
As San Francisco’s district attorney, Kamala Harris ran a program that helped illegal immigrants arrested for drug crimes avoid deportation, get jobs, and even have their records expunged. The “Back on Track” program was run by the San Francisco district attorney’s office while Harris was district attorney from 2004 to…
Hamas Lovers Hit New Low in D.C. Protest
by PJ Media
So you saw the latest batch of Hamas lovers burning American flags, releasing maggots, and vandalizing our monuments in Washington, D.C., recently since Israel’s Prime Minister Benjamin Netanyahu visited. My friend Stephen Kruiser discussed it a bit in his latest Morning Briefing, as did Athena Thorne, who went into more…
Congress Ordered Research into Military Covid Shot Injuries
by Infowars
Congress has included a provision in the National Defense Authorization Act (NDAA) for fiscal year 2024 directing the U.S. Department of Defense (DoD) to investigate the negative health outcomes on military personnel following administration of the Covid vaccination. “Study and report on health conditions of members of the Armed Forces…
FBI Director Debunks Biden’s Claim That J6 ‘Gallows’ Were Designed to Hang Mike Pence
by Headline USA
President Joe Biden said in a recent speech that the infamous gallows built on Capitol Hill on Jan. 6, 2021, were “erected to hang Vice President Mike Pence.” That’s a strong claim coming from the sitting—at least for now—leader of the free world. Rep. Thomas Massie, R-Ky., asked FBI Director…
Legal Group Launches Several Investigations Focusing On Kamala Harris’ Record, Use of Campaign Funds
by Trending Politics
“A lot of her tough on crime reputation goes to her prosecution when she was San Francisco DA, individuals who use marijuana and other sorts of things,” AFL President Dan Epstein said in a statement to Fox News. “Our investigation, however, makes it very clear that Kamala Harris does not…
Kamala Harris Once Mocked Trump’s Warning of Terrorists Crossing Through Border
by Daily Caller
Vice President Kamala Harris mocked the idea that a border wall was necessary to keep terrorists from entering the country during a February 2019 interview in New Hampshire. During the sit-down interview with WMUR-TV, then-Democratic California Sen. Harris mocked President Donald Trump’s assertion that a massive border wall between the…
Ultra-Processed Foods Are Harming Children: What’s Being Done About It?
by The Epoch Times
Ultra-processed foods have become a significant part of many children’s diets, and it may come as no surprise that such foods come with a cost. A cross-sectional study published in JAMA in May revealed that children who consumed high amounts of ultra-processed foods exhibited higher body mass index, waist circumference,…
Democrats Urge OpenAI to Allow Government Access to Models Before They Go Public
by Reclaim the Net
Five Democrat senators have penned a letter to OpenAI CEO Sam Altman, as a form of not-so-subtle pressure to commit “to making its next foundation model available to US Government agencies for pre-deployment testing, review, analysis, and assessment.” But, “pre-deployment testing by government agencies?” Are these guys sure this is…
These Important Election Integrity Initiatives Might Be On Your 2024 Ballot
by The Federalist
From voter ID to mail-in voting, these proposed ballot measures could significantly alter the way states administer their elections. While most political pundits are focused on the pending matchup between former President Donald Trump and (presumably) Vice President Kamala Harris, a major facet of the 2024 contest that’s not getting…
News from across the conservative media sphere! Subscribe for free to the brand new Based Underground Newsletter for a daily uncensored recap of the news and opinions that are most important to American patriots.