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. Hawaii gal

    Good, give the money back! I am sure we can find a better use for it. I feel if the banks do not take TRAP or any other government supplied (tax payers) funds then they can do whatever they want with regards to bonuses and elaborate parties or conventions. I just have a problem if they use our money for it, but if they use their own. Afterall, if the do not take the money they are private companies that should not be micro-managed by the government.

    March 11, 2009 01:39 pm at 1:39 pm |
  2. Sean T

    Good...They should have never have gotten it under Bush without clear rules and regs.
    Now that they have to adhere to certain rules put in place by Obama.They decide they don't need it!
    Good give it back!

    March 11, 2009 01:39 pm at 1:39 pm |
  3. Linda iowa

    Divide that 350,000,000,000 TARP funds among the taxpayers in America. Talking heads say that will not work it was tried. Not in this large an amount. Put the power of fixing the American economy in the hands of her people. Stand back and watch how fast it turns around. Do not trust these banks. This is the very proof. They do not want accountability. I really like the comment about monopolies. When banks were deregulated and allowed to become so big was the start of it all.

    March 11, 2009 01:40 pm at 1:40 pm |
  4. Ron L

    This is a GLARING example of how poor many of the articles and interviews that CNN participate in are half done. SO..some of the banks are returning the TARP. Did anyone happen to notice that they did not bother to say WHY??? Wouldn't you think that is important??
    The WEAK LINK in American politics is the American NEWS MEDIA. They are SO busy giving us half-baked or borderline Entertainment Tonight type news that the American public seldom gets the FACTS. They repeat OVER and OVER and OVER the rhetoric from both sides, and frankly 90% of it is EXAGGERATIONS. No wonder as a nation we are in a MESS!! If the Media were to mature, the nation as a whole would as well....IT IS SAD!!

    March 11, 2009 01:44 pm at 1:44 pm |
  5. Il_voter

    I think this is a welcome sign. It is a loan that they want to pay back ASAP.

    March 11, 2009 01:44 pm at 1:44 pm |
  6. Snake eyes

    GOOD– MAYBE IF THEY DIDNT NEED IT, THEIR BALANCE SHEETS WERENT SO BAD AFTER ALL. MAYBE THEY DECIDED TO FIX THEIR PROBLEMS ON THEIR OWN.

    MAYBE THE ECONOMY WILL BOUNCE BACK SOONER THAN EXPECTED.

    I THINK BANKING REFORMS WILL STILL OCCUR...

    March 11, 2009 01:47 pm at 1:47 pm |
  7. Sue

    So I guess they weren't in the dire straits Bush said they were last fall after all! I suspect this whole thing was an effort by the Bushies to turn scrutiny away from their war crimes. It almost worked.

    March 11, 2009 01:52 pm at 1:52 pm |
  8. pete

    And Geithner expects a tax free payment from each of you for his trouble.

    March 11, 2009 01:52 pm at 1:52 pm |
  9. Nick the Photographer

    How much money did they make off of that TARP money while they were holding it? What a scam. And it's legal... unreal.

    March 11, 2009 01:53 pm at 1:53 pm |
  10. Faith Restored

    Since they won't be able to play fast and loose with OUR TAXPAYER DOLLARS without accountability like they were allowed to do under that model of fiscal, moderate responsibility laced with down home American values aka the GWB years, they want to give the money back? Thanks. I'm sure a real american who worked hard for that and wasn't handed a bailout could probably find a good use for it. Or should I say how many thousands upon thousands.

    March 11, 2009 01:54 pm at 1:54 pm |
  11. sharkysnvi

    Of course, they did not reject the money immediately when it was offered to them. They had no problem accepting it as long as there were no strings attached. Now, that president Obama, on behalf of the taxpayers, wants transparency and accountability, they no longer need that money. Thank you president Obama and please continue to place the interest of the people ahead of politics.

    March 11, 2009 01:55 pm at 1:55 pm |
  12. yea

    The good old rich boy American system. I want the money but don't give me any restrictions on what I do with the money. Yes we messed up the economy but don't give me any restrictions with the money YOU are giving me. NO, don't look at my books and don't give me guidelines, just give me the money and we'll straighten this whole thing out. JUST GIVE US THE MONEY and BACK OFF. Even the Bible gives us the knowledge about a PEOPLE WITHOUT RESTRAINTS will ruin a nation. Peace!

    March 11, 2009 01:56 pm at 1:56 pm |
  13. Deb in Colo

    The question here is why did they take the funds in the 1st place? If they didn't need it they should have stayed out of the "pool".

    March 11, 2009 01:57 pm at 1:57 pm |
  14. TCM

    ahh...good to see that banks don't like socialism either...now, run the banks the way you're supposed to, without screwing the public or Comrade Obama will visit you again....

    March 11, 2009 02:00 pm at 2:00 pm |
  15. walleye

    I am glad to see they will be returning the money. Its important however to make sure this does not happen again by getting rid of (and in some cases putting in prison) those that got us into this economic situation in the first place.

    March 11, 2009 02:01 pm at 2:01 pm |
  16. Andi

    I see...if the banks can't use the TARP money for executive bonuses, they don't want it...what total arrogance! So it wasn't the sub-prime mortgages that brought Wall Street down, it was CEO bonuses!

    March 11, 2009 02:01 pm at 2:01 pm |
  17. Don't Hate Me Because I'm Beautiful

    2008-2012

    OBAMA VS. THE "MAN". The saga continues...

    Looks like the good ol' boys have declared their own domestic war with their own President and our White House.

    True colors...

    March 11, 2009 02:02 pm at 2:02 pm |
  18. RealityKing

    Better to have no money to lend than be under government control is a long standing good business rule.

    March 11, 2009 02:03 pm at 2:03 pm |
  19. Don't Hate Me Because I'm Beautiful

    OBAMA VS. THE "MAN". The saga continues...
    2008-2012
    Looks like the good ol' boys have declared their own domestic war with their own President and our White House.

    True colors...

    March 11, 2009 02:04 pm at 2:04 pm |
  20. Jim

    About time someone returned the money. All republicans you created this mess with unlimited amounts of $ to the banks and wall street and no accountability.. watch 2010 if this continues there will not be a republican left in the senate or the house. Imagine that real progress!

    March 11, 2009 02:04 pm at 2:04 pm |
  21. Ghost

    See, this is what the problem is with Americans. Pay attention, why don't you?

    Obama's plan to nationalize the banks, none of the banks promising to return money not being on his donor lists, and his socialist agenda? Think for 2 seconds before you speak. But then again, that might be to much for you.

    I have the same problem with those claiming that Bush let 9/11 go down on purpose. While I wouldn't put anything past any administration, without proof, it is meaningless speculation. Or at worse, partisan hating. You guys are probably the same ones that co-signed everything Bush did and still believe that the war in Iraq was right, even with the intel reports and the entire rest of the world saying no.

    March 11, 2009 02:11 pm at 2:11 pm |
  22. KC

    This just proves that there are too many strings attached to the funds.

    March 11, 2009 02:12 pm at 2:12 pm |
  23. Gary Jaussaud

    Gary's Comment is:

    I just wish the national press would relax and try and cover something
    postive, its not President Obama that is scaring the hell out of people
    its the press. Every day the news is filled with gloom and doom, give
    the process a chance to work, now see some of the banks don't like
    everyone knowing their business and want to pay the money back, well I think that is good news, and the press should cover that, its a
    good thing, perhaps more to come. Again let the process work!!

    March 11, 2009 02:12 pm at 2:12 pm |
  24. xcusme

    @James L. Well said. They were all for it when there were no strings. But now the new administrations had stipulations they do not want it. Make me think they are going to continue to be currupt and they do not want big brother knowing what they are up to.

    Its funny that they needed it and now they don't. Ummmm, I guess they want to pay bonus. You want the money but no one is to dictate to you. How arrogant.

    March 11, 2009 02:15 pm at 2:15 pm |
  25. RealityKing

    Total government deficit is $764.5 billion since beginning of fiscal year.

    The government can handle it better..., said the moron.

    March 11, 2009 02:16 pm at 2:16 pm |
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