Further info on my bank failing.

[tenaya]

I've an acquaintance that has worked for PFF for years. Her retirement was in PFF stock and last year was worth $40,000. This summer when the bank was sold to Cal State, the stock prices made her retirement package worth just over $6,000. For some reason Cal State bank couldn't go through with the sale so the federal regulators seized it and now US Bank has its assets. That moves made all retirement benefits disappear for the employees. So my friend now has no retirement and her severance pay, which was going to be something like six months worth, is also gone.

So, while it probably won't make a difference for me as a customer, for the employees it's terrible news.

Comments

[gategrrl.livejournal.com]

OMG, that is so upsetting.

[moonchildetoo.livejournal.com]

OMG, that is so awful! Truly, horribly awful!

[geminia905.livejournal.com]

This is why Mom changed the stock in her 401K so that only what the bank matched was in bank stock and the rest were in low-risk annuities and such.

The bank she worked for never went under, but whenever they acquired new banks through mergers the bank stock would invariably plunge. Even with only the bare minimum in the bank stock, she often lost 3-5K at a time.

[redbyrd-sgfic.livejournal.com]

The problem with having all your retirement in your company's stock is that it's putting all your eggs in one basket. You've already got a substantial investment in the place just because you depend on it for your income. Retirement money srsly needs to be somewhere else.

[gateruner.livejournal.com]

That is awful! So many people are being crushed by these things while CEO's boohoo over having their lavish "bonuses" slashed. Grrrr. *fumes*