A long-time dog with no direction. The only thing
this bank would offer anyone would be geographic
expansion into less than attractive markets. They had a
multi-million $$$ loss a couple of years ago on leases that
they were buying. I believe fraud might have been
involved, but not sure.
There is an excellent article in Wall St. Journal
of Thursday 9/22, page B1, "Floyd Teaches a Hard
Lesson in Flood Insurance".
I get the impression
there is a lot of uninsured property in eastern NC.
Example: mortgage lenders may require flood insurance on
the mortgaged real property, but there may be no
requirement for flood insurance on the contents, equipment,
etc. Journal also says there are dollar limitations on
the amounts of government coverage.
since much of flood was in areas where no floods had
happened heretofore, many people did not have flood
insurance [why pay for flood insurance if you live where
there are no floods?] at all. Some lenders will be left
holding the bag, and are probably building loan loss
reserves. AFter all, they did not expect a flood
Is all very sad........the people without homes and
potable water, the dead pets and farm
I think the loans can still perform even if the
paperwork gets wet. Just kidding/.
professional underwriting standards would require insurance on
all secured loans. BB&T should be fine. Also, the
bank's growth in recent years protects it from being too
dependent on a small geographic area.
readum........I have a home equity line of
credit, and the lender does not require that I have flood
insurance coverage on the collateral.
I think this
is a very interesting situation vis-a-vis the flood
in eastern NC. What will the lenders do to collect
all the bad loans that they MUST have out there now?
Just think of all those millions of hogs on the smelly
corporate hog farms in Duplin County and other places down
east...............Pictures of dead hogs floating down river.....and other
places......are all over national television.
"Slick" and Hillary will have some solutions forthcoming
from Washington. Isn't Arkansas a big hog state, also?
I truly feel sorry for all the people and animals
caught in the floods out there. No one deserves what has
been happening to them.
do not cover flood or rising water. Unless the
property is in the 100 year flood plain, flood insurance
is not required by federal regulation, and few take
the coverage unless lenders require it. This flooding
is into the 500 year flood plain. There will be many
homeowners and many lenders not covered in this situation.
Mobile home owners may be better off, because I believe
they may be covered for flooding under the standard
mobile home policy.