Indymac collapse to shock US mortgage sector

Story link: Indymac collapse to shock US mortgage sector

It was bad enough when Bear Stearns went under - but now after a week when Freddie Mac and Fannie Mae saw their stock prices plummet on fears they would need a federal bailout, Indymac in California collapses:

Key US mortgage lender goes bust

One of the largest US mortgage lenders, the California-based IndyMac Bank, has collapsed amid a growing credit crisis.

Federal regulators seized the bank’s assets, fearing it might not be able to meet withdrawals by depositors.

It is the second-largest financial institution to fail in US history, regulators say.