Washington Mutual Bank, or WaMu,or wamucards has always been a leader in the way it liked to do banking. It is one of the largest banks in the US and started out in Washington. The bank was set up in 1889, and since then has gone on to do many big things for customers.
Back in the 1880s when WaMu was set up, Seattle was recovering from a devastating fire that destroyed most of the city. The reason the bank was setup was so that investors could lend money to those in the city as a way of helping others to rebuild their homes. The bank wanted to create a safe way to do so, and this laid the foundations for a bank that was always involved in community matters.
The way in which wamucards ,WaMu bank helped out local residents is what gained it its all important reputation that was the fuel for it to grow. The first home loan they issued was by February 10, 1890. It was to a sailor who needed money in order to build a hose in an area of Seattle. The way that WaMu setup home loans like this proved a creative way of doing things, and really caught on in recent years.
It has been stated that the rebuilding of Seattle was largely down to the fact that they provided home loans since 1890. In fact they provided over 2,000 of these types of loans and attracted a lot of press coverage because of this. Their creative outlook always set them out from their competitors in the past, and led to them gaining the status they did in more recent decades.
However, even the big banks become liable to circumstances, and customers recently withdrew around $16.7 billion from their accounts in a very short space of time, leaving the bank’s situation extremely unsound. They made huge losses around the course of 2 years, despite the fact that they were one of the biggest lenders in the US.
Luckily customers of wamucards , WaMu bank did not see their funds disappear, as JP Morgan acquired the bank in order to keep branches open and business running. It just goes to show that no matter what their history, banks are subject to failings if they look at growth over practical measures to protect their loans.
Fortunately for everyone involved, wamucards customers did not lose their money. However, how long with this trend last? WaMu was able to be bailed out by JP Morgan, but what if this happens to other major bank chains? After all, if we can see this happening to a company as big as Washington Mutual bank wamucards then really it could happen to just about anyone.
In the midst of the economic crisis many investors have taken this as an opportunity to invest. If you are careful then you know how to protect your money and use the situation of banks such as WaMu to your advantage.
