Friday, October 10, 2008


My advice on choosing a bank, discussed in the post “Animal Farm”, turns out to be even better advice than I originally thought.

The small, one-branch bank is stronger than ever today, compared with giants like Wachovia and Washington Mutual. I have heard many radio ads, and have been told of a few mailings, from such banks bragging about their excellent condition.

This is because these small banks could not afford the risk of irresponsible “sub-prime” mortgages like the “big boys” – who, it turns out, could not afford them either. These banks have been prudent and sensible, requiring an appropriate down payment and acceptable credit rating from borrowers and not going "hog wild" with refinancing.

So I repeat my long-time advice on choosing a bank: Select the smallest bank in town – a one-brancher if you could find it.

{BTW – This is my 600th post since returning to a few years ago. In that time I have had 84,000+ “visits” and 119,000+ “page views”. Lately, if you don’t count Sunday, I have been averaging over 150 visits and over 200 page views per day.}

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