Homestead mailing list

[Clansgian AT wmconnect.com]

> Actually, I think you are wrong, the little banks will be gone to a large 
> extent.  This is because this depression, panic, what ever you want to call 
> it, is not about the mortgage crises, it really is about the consumers.  

While you make an important point, that credit limits on cards and such will 
be sharply curtailed, I'd have to go with Lynda on this one.  Small banks 
depend on deposits of actual cash assets while the big banks depended on the 
continuousl swapping about of credit to create the illusion of assets.

An overall depressed economy will affect small banks, but I would not be 
surprised to see most of them surviving.   </HTML>