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Is American Bank Of Texas insolvent?
vanity ^ | June 3, 2012 | MrEdd

Posted on 06/03/2012 11:42:34 AM PDT by MrEdd

I live in North Central Texas.

For the last two months, American Bank of Texas' ATM system has ceased to function every Saturday afternoon. They don't get it back up until at least Sunday afternoon, sometimes Monday morning.

It is fair to ask, are they insolvent?


TOPICS: Business/Economy
KEYWORDS: bankingeconomy; vanity
Anybody know?
1 posted on 06/03/2012 11:42:41 AM PDT by MrEdd
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To: berdie

later


2 posted on 06/03/2012 11:50:57 AM PDT by berdie
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To: MrEdd

Not acording to these guys

http://www.bauerfinancial.com/btc_ratings.asp


3 posted on 06/03/2012 11:51:15 AM PDT by CGASMIA68
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To: MrEdd

An ATM going down for a few hours on the weekend a doubtful sign of insolvency, more like either a poorly planned update and maintenance schedule or a glitch in the software.


4 posted on 06/03/2012 11:57:00 AM PDT by mnehring
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To: MrEdd

I don’t know. But from the description of the problem, it sounds more likely that they recently modified their programming subroutines. One or more of them appears to have an issue with the clock or the calendar. There can be thousands or tens of thousands of code lines to review and/or the problem could stem from some real world/code interference. I can’t feature any fiscal insolvency that would be beneficially addressed by going offline for 36 hours.


5 posted on 06/03/2012 11:57:05 AM PDT by davius (You can roll manure in powdered sugar but that don't make it a jelly doughnut.)
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To: MrEdd

They’ve been bought by Prosperity Bank, another Texas-based bank. so perhaps it’s just some difficulty in merging the two. And Prosperity Bank is definitely in fine financial shape.


6 posted on 06/03/2012 11:57:45 AM PDT by txrefugee
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To: MrEdd

It’s possible it’s just because the ATM isn’t refilled. My credit union ATM is often empty on Saturday mornings.


7 posted on 06/03/2012 12:17:11 PM PDT by R. Scott (Humanity i love you because when you're hard up you pawn your Intelligence to buy a drink)
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To: MrEdd

It may not be the bank itself, but a nationwide currency shortage.

This is a risk I’ve been aware of for some time, that the US Bureau of Engraving and Printing, which has only two printing offices to produce our currency, has been pushed to the limit on capacity. As things stand now, they are only able to sustain 5% of the US daily retail exchange in paper currency, and that number is falling. Everything else is in virtual money.

To make matters worse, most of the bills they print are $1, with proportionately fewer higher denomination bills. Today, most of our $100 bills are shipped overseas to meet demand there.

The end result is that they cannot print *more* money, or higher denominated money, for the simple reason that nobody could make change for it. Even $500 bills are too large.

This means that either if there is a problem with virtual money: credit and debit cards and checks having a system failure, or retailers no longer accepting virtual money; or the public have a cash panic, and makes cash runs on banks, the economy is instantly in crisis.

In real terms, every bank branch in the US could be out of currency in a few hours, which could force a bank holiday, so that there would be a “currency split”.

This means that virtual money could be worthless or locked up and unavailable, while at the same time paper currency skyrockets in value. That is, instantly a nickel would be worth a dollar in purchasing value; but because of shortage would continue to appreciate. A penny might be able to buy what a dollar buys today.


8 posted on 06/03/2012 12:31:14 PM PDT by yefragetuwrabrumuy
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To: txrefugee
And Prosperity Bank is definitely in fine financial shape.

Agree...I've heard that, as well.

9 posted on 06/03/2012 12:31:23 PM PDT by Jane Long (Soli Deo Gloria!)
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To: mnehring

I wasn’t clear. It is not a single machine. It is the entire system, including debit purchases anywhere.


10 posted on 06/03/2012 12:38:42 PM PDT by MrEdd (Heck? Geewhiz Cripes, thats the place where people who don't believe in Gosh think they aint going.)
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To: MrEdd
Many years ago, back when the ATM concept was no more then 10 years old, every Monday morning (00:00-04:00), I would take a small banks mainframe computer down for maintenance. When that happened, all the ATM’s for that bank closed down and stopped working. Operations have improved much over the years and that should not be happening anymore. Since it occurs at a regular time interval however, would assume running out of cash or some type of maintenance is the problem. Was there any type of error message or notification ? Did you call the bank and ask them about the situation ?

The first sign of paper cash problems with banks will probably be a lowering of the maximum amount of cash you can get per day from an ATM.

11 posted on 06/03/2012 1:02:39 PM PDT by justa-hairyape
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To: MrEdd

When you see people lined up at the door, packing side arms, demanding their money—that’s when it is time to panic.


12 posted on 06/03/2012 1:07:47 PM PDT by WKUHilltopper (And yet...we continue to tolerate this crap...)
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To: MrEdd

The most recent numbers I could find online were for March 31, 2012, and their capital ratios looked ok at that point. Looks like they were paying a dividend, as well, which is another good sign.


13 posted on 06/03/2012 1:42:08 PM PDT by PAR35
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To: MrEdd

Seems like the FDIC is usually on top of these things and if your bank was anywhere near insolvency it would already have been forced to transfer control to a more stable bank.


14 posted on 06/03/2012 1:42:37 PM PDT by wideminded
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To: yefragetuwrabrumuy

I’m calling my broker, looks like aluminum foil futures will be on the upswing.


15 posted on 06/03/2012 1:45:51 PM PDT by X-spurt (Its time for ON YOUR FEET or on your knees)
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To: MrEdd

This is with all other of their customer’s cards? Otherwise might want to call Free Credit Report.Com.


16 posted on 06/03/2012 1:51:12 PM PDT by X-spurt (Its time for ON YOUR FEET or on your knees)
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To: X-spurt

Good luck with that, it’s already happening in Greece and Spain. But it could never happen here with somebody like Obama at the helm.

N.B.: some of the bank holidays during the Great Depression lasted between 3 and 300 days. A recent change in the law now allows banks to declare their own holidays for up to two weeks, and also permits them to retain demand deposits.


17 posted on 06/03/2012 3:53:56 PM PDT by yefragetuwrabrumuy
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To: yefragetuwrabrumuy

ZOOOOM .... guess that went right over yer tinfoil hat.


18 posted on 06/03/2012 4:12:07 PM PDT by X-spurt (Its time for ON YOUR FEET or on your knees)
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To: X-spurt

Almost six months cake day for you, here. Go trust in Krugman, he’s more your style. Calling someone out without backing it up, well, it’s pretty lame.


19 posted on 06/03/2012 5:24:53 PM PDT by yefragetuwrabrumuy
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To: yefragetuwrabrumuy

Either you need to re-wrap noggin with the tinfoil or lay off the J while writing, somethings getting to ya.


20 posted on 06/03/2012 8:52:17 PM PDT by X-spurt (Its time for ON YOUR FEET or on your knees)
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To: X-spurt

It isn’t you, oh noob of insult.


21 posted on 06/04/2012 5:42:59 AM PDT by yefragetuwrabrumuy
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To: yefragetuwrabrumuy

December 20, 2007 ain’t zactly an oldy. If you want to get into trying to pull some noob bully crap, I’m your huckleberry! Love a good pissin contest, LoonyTune.


22 posted on 06/04/2012 6:59:36 AM PDT by X-spurt (Its time for ON YOUR FEET or on your knees)
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To: MrEdd

bfl


23 posted on 06/04/2012 7:10:46 AM PDT by Fightin Whitey
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