March 11th, 2009
11:08 AM ET
5 years ago

Banks: Take my TARP. Please!

Asset manager Northern Trust told members of Congress last month that it wanted to repay the $1.57 billion in government funds as quickly as prudently possible.
Asset manager Northern Trust told members of Congress last month that it wanted to repay the $1.57 billion in government funds as quickly as prudently possible.

NEW YORK (CNNMoney.com) - Taxpayers hate the bank bailout. Lawmakers too. And now it looks like some of the bailed out banks themselves are starting to get fed up with it as well.

Just weeks after Congress removed a key hurdle that prevented banks from paying back funds from the Troubled Asset Relief Program, or TARP, some banks are already queuing up with checks in hand.

So far, three banks have formally declared their intentions to pay back the government. Last month, Louisiana-based IberiaBank Corp. (IBKC) said it would return $90.6 million while TCF Financial (TCB), a bank headquartered just outside of Minneapolis announced last week it was returning $361.2 million.

On Tuesday, New York City-based Signature Bank (SBNY) became the latest, announcing at a conference it had filed notice with the Treasury Department to pay back $120 million in TARP funds.

This list doesn't include the dozens of institutions that were approved for government aid, but subsequently decided to turn down the money. New Jersey-based lender Sussex Bancorp (SBBX) added itself to that group after it withdrew from the program last week.

But even more banks are poised to return TARP money, including some of the nation's largest.

Full story


Filed under: TARP • Treasury
soundoff (84 Responses)
  1. Pete

    So, if they're returning it, will the people screaming about the bailouts adjust their figures a little bit?

    March 11, 2009 12:01 pm at 12:01 pm |
  2. obama-mama

    This is a good sign?

    March 11, 2009 12:03 pm at 12:03 pm |
  3. katiec

    The banks that do not want scrutiny and transparency leave doubt as to their integrity and conduct. Regardless of whether they accept funds or not, there have to be rules and regulations put into place to stop the abundance of greed. They have proven that they have not acted in the best interest of us and our country and cannot be
    trusted to do what is right.
    Of course, there are many above board banks out there, and, with
    these should be no problem accepting requirements demanding honesty and responsible handling of our funds.

    March 11, 2009 12:09 pm at 12:09 pm |
  4. Dan, TX

    Hurray!

    Turn it back in! Good job banks!

    March 11, 2009 12:10 pm at 12:10 pm |
  5. AnnMM

    Why the negative tone to the story? This is a good thing. CNN there's so much real controversy and negativity in the world, why are you trying to create more with false tone and silly headlines? You are quickly losing all credibility.

    March 11, 2009 12:16 pm at 12:16 pm |
  6. NO credibility

    Our government has no clue. They throw money at banks without any clue why. Time for the government to keep ALL its money, and return it to the taaxpayers in the form of tax breaks.

    March 11, 2009 12:18 pm at 12:18 pm |
  7. no corporate politics

    I think that it is telling that none of the banks promising payback are on the list of top Obama corporate financial donors.

    I guess if they donated big – no payback is expected.

    March 11, 2009 12:19 pm at 12:19 pm |
  8. Andi

    Well, this should end some of the sniping on Capitol Hill, then. They'll have a couple hundred billion $ back

    March 11, 2009 12:20 pm at 12:20 pm |
  9. Brian G, Sugar Land, TX

    What: Three banks have formally declared their intentions to pay back the government?

    I'm buying stock in those banks!

    March 11, 2009 12:22 pm at 12:22 pm |
  10. JG

    Does this mean we might see light at the end of this dark dark tunnel ?

    Maybe some big wigs have a touch of conscious agter all!

    March 11, 2009 12:22 pm at 12:22 pm |
  11. Ghost

    Hey, this might actually be a positive for Bush. Money actually coming back form the TARP.

    Interesting that they are returning the money due to certain restriction that may come down the line. If I were a conspiracy nut, i would suggest that maybe Obama's stances may have these banks not wanting to mimit big wig pay or actually having to commit to the lending they said this capital would produce. But since I'm not, I won't.

    March 11, 2009 12:23 pm at 12:23 pm |
  12. Ray Fisher

    Of course Americans hate the bank bailouts because the banks are supposed to be responsible with our money and dependable for our economy. The bailouts are a misdirected effort toward a fast recovery. The banks must be reregulated BEFORE any recovery can occur and thus any bailout to be attempted. Not even a village idiot attempts to bail out a boat with open holes!!! First the holes must be plugged before bailing out. We are still waiting for Geithner to plug the holes and reregulate the banks!!!

    March 11, 2009 12:24 pm at 12:24 pm |
  13. markens

    oba ma is fixing this country for good. those banks cannot take the stress test.

    March 11, 2009 12:24 pm at 12:24 pm |
  14. Mel

    Of course they are. They don't like the fact that the gvt is holding their leashes for a while. I hope they go under. I have had enough of their greed.

    March 11, 2009 12:31 pm at 12:31 pm |
  15. James L.

    This is a good thing. One note: most people out here are not aware that Bush forced many of the banks to take the TARP $$ (with no strings attached) it wasn't until President Obama put stipulations on the $$ many of the banks felt like they not only didn't request any $$ they were not going to take any $$. Now the banks who did accept the $$ under Bush administration don't like the Obama regulations that go with $$ and want to return it. The story is deep so bottom line..............................Bush was corrupt even till the end.

    March 11, 2009 12:32 pm at 12:32 pm |
  16. MICK in MESA

    Looks like the "bank system crash" of '08 is turning out to be just like Iraq's WMDs – LIES!

    March 11, 2009 12:33 pm at 12:33 pm |
  17. J

    They don't want the money, b/c they don't want to explain how they plan to spend it.

    March 11, 2009 12:36 pm at 12:36 pm |
  18. AndyL

    Bank rejecting socialism are banks worth dealing with. Good for them, give the money back and tell Obama where he can stick his socialist agenda

    March 11, 2009 12:38 pm at 12:38 pm |
  19. We really love Sarah

    Funny how so many miss the most important point.

    If the banks can so easily return the money, then they did not need it. Furthermore, the restrictions placed on these banks that received TRAP funding is nothing. Think about the restriction that the everyday person has when getting money from these same banks. Yet, they want US to loan them money with zero restrictions.

    Folks we need more incentives for these banks to pay back what they took from us.

    I will never understand human nature; first you complain about giving the banks money. Now you complain about them giving the money back.

    March 11, 2009 12:40 pm at 12:40 pm |
  20. Henry Miller, Cary, NC

    Great! It looks like they caught on to Obama's little back-door bank nationalisation scheme.

    March 11, 2009 12:41 pm at 12:41 pm |
  21. Retfarc

    I find it odd that the banking system does not like to have money loaded to them when they think the rules can change after the fact. Isn't that exactly what they do with credit card accounts??? Reregulation cannot come quickly enough for me.

    March 11, 2009 12:42 pm at 12:42 pm |
  22. vinylrage

    "I think that it is telling that none of the banks promising payback are on the list of top Obama corporate financial donors.

    I guess if they donated big – no payback is expected."

    Please, feel free to expand on this.. I'm not sure I understand...

    March 11, 2009 12:42 pm at 12:42 pm |
  23. Schneider (D) - CA

    Doesn't this basically prove that they do not want transparancy and accountability?

    My view is that if anything is too big to let fail, then it is a monopoly and needs to be broken up.

    March 11, 2009 12:43 pm at 12:43 pm |
  24. karen-Phoenix

    GREED is running Wall St., the banks and the lobbiests!!! Like the flue, all MUST be thrown up and gone before we get well!!!

    March 11, 2009 12:44 pm at 12:44 pm |
  25. Cheryl

    They don't want limits on their compensation, that is what the problem is!

    March 11, 2009 12:44 pm at 12:44 pm |
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