The technically insolvent FDIC (Federal Deposit Insurance Corporation) releases their next scheduled financial report next Tuesday (August 25th). Many financial analysts are anticipating a very negative financial report. In addition, numerous banks are expected to fail in the very near term beginning as soon as this Friday (August 21st).

Since Washington Mutual (the largest takeover in American banking history) collapsed last September (as I accurately forecast years in advance), they effectively bankrupted the FDIC last September. Last Friday, Colonial Bank (based in Alabama and Florida) was taken over by the Feds. It was a $25 billion dollar bank, the largest bank takeover since WAMU, and the 5th largest bank takeover in U.S. history.

As I have warned my readers, clients, family, and friends for years, The Credit Crisis is on-going and only worsening. The banking system (a Fractional Reserve System) encourages banks to maintain close to ZERO PERCENT cash reserves while loaning their deposit money out via incredible leverage (10 - 50+ times).

Most large U.S. banks are also technically insolvent these days. As a result, I am expecting numerous bank failures this Fall (beginning within a few days). I also foresee banks unloading their prime real estate at literally cents on the dollar in the near term in order to generate much needed cash.

We know how to find the best foreclosed properties for our clients. To take advantage of the worsening Credit Crisis instead of being hurt by it, please contact me for more details. Smart investors these days are pulling some to much of their money out of the U.S. stock market since the total average return over the past 12 years in the broad based S & P 500 stock index was ZERO PERCENT.

I am expecting all stock indexes to plummet in both September and October. Over the past 5 months, the S & P 500 index INCREASED 50% during our on-going Credit Crisis. These high returns will not last, and wise investors may consider cashing out at the peak and investing in their funds in heavily discounted real estate in the near term.