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Recession Briefing 12.23: In Bank Closings, FDIC Gets Booty

What you need to know today to survive and thrive in the recession.

The recession pushed U.S. bank failures in 2009 to a 17-year high. As a result, the Federal Deposit Insurance Corp. came into possession of some interesting booty, including a rapper’s tour bus that reeked of marijuana, a red 2001 Ferrari, an eight-foot palm tree and stacks of unwanted office furniture. (Bloomberg)

In these final shopping days, many parents are reconciling their practical concerns with a deep desire to see delight in their children’s faces on Christmas morning. Spending on gifts is down, but that does not always mean children will feel the difference. (Washington Post)

In states hit hard by the housing crisis, stripping fixtures and appliances from homes in foreclosure has become commonplace. Often, the stripping is not done by strangers. It is done by the owner, just before the bank forecloses on the mortgage and takes the property back. (New York Times)

U.S. Treasury Secretary Timothy Geithner said on Wednesday that the economy was recovering, but it may be some months yet before jobs are being created instead of lost. (Reuters)

Banks will pay big bonuses over the objections of Congress, President Obama and much of the nation. Yet in New York, the local economy is so closely tied to the fortunes of Wall Street that people are in the awkward position of rooting for the fat cats — as Obama called them. (USA Today)

The latest data show small-business bankruptcies up 81% in California for the 12 months ended Sept. 30, compared with the previous year. Filings nationwide were up 44%, according to the credit analysis firm Equifax Inc. (Los Angeles Times)

Are we safely on the other side of The Great Recession?  Are we about to double dip?  Can a single shred of data from the government be trusted?  Joshua Brown doesn’t know, but he has a list of The Great Recession’s Ten Commandments until we are certain. (The Faster Times)

After public outrage erupted over the $165 million of bonuses paid out by AIG earlier this year, company executives said they would return $45 million by the end of 2009. So far, only about $19 million has been repaid. (Washington Post)

Health care providers are rolling out a different sort of stocking stuffer: Gift cards that can be used to pay bills and insurance premiums or for specific services at eye doctors and dentist offices. (Associated Press)

Confusion and delays have plagued the President Obama’s loan modification program, but the problems have been particularly acute for homeowners seeking a modification before they begin falling behind on their mortgage payments. (ProPublica)

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Tags: banks, foreclosures, holidays, real estate, Wall Street