Reading reports where Chase Bank sent out letters to business customers concerning policy changes:
-- No overseas wire transactions (you will be allowed to receive but not send).
-- $50K monthly limit on cash withdrawals against your own corporate account!
The reports I've read included several examples of letters sent to customers (mostly business). This isn't coming from just a single source, the story appears to be legit as far as I can tell. Have yet to see anything from mainstream media, but someone might pick up on it tomorrow.
The implications are serious, especially for smaller businesses who make payroll and accounts payable transactions from these accounts. Finance people looking into this are scratching their heads wondering why any bank would implement such draconian measures, especially the limits on international wire transfers.
The conspiracy crowd was quick to jump on this: the concern is that Chase is just the first of many large money-center banks quietly trying to prevent customers with large cash positions from pulling out their funds ahead of some financial disaster. It's supposed to be an attempt at controlling money leaving the big-banking sector. Normally, I wouldn't pay a lot of attention to this stuff, but nowadays it doesn't seem so far fetched given the sad state of the debt situation in the U.S. Maybe someone can dig into this.
Also, a quick eyeball on U.S. economic news is turning up story after story on reduced corporate earnings. The number & frequency of these stories have increased of late. Of particular note was Walmart's announcement a few weeks ago to it's suppliers that order sizes will be significantly reduced in the coming months. Many big box stores are going to be hyping Christmas deals well before Halloween this year -- not a good sign.
If earnings turn sour you can kiss the equities markets goodbye, solid earnings is what pushed this market up to where it is today.
Is it possible that a corporate giant like Chase anticipating a govt shutdown and gridlock on budget in DC set up a short stop to moneys being drained from coffers, a run on the bank, in the wake of what could have been a fiasco instead of just a farce coming out of the last minute nonsense Congress set us up for?
They might even keep such draconian measures in place for another run on the bank in January when the can has to get kicked down the road in DC.
Considering the Congress has shown penchant to be willing to let us all die, in order to live by principals that leave you right, and I mean DEAD--right? Have a cuppa tea and think it over.