Mr Badger is not a happy man today. He works in the banking software sector and one of his biggest clients is Bear Stearns...
But the banking sector has every reason to be worried after this weekend's events across the Pond.
Did you know that banks in this country are only required to hold 5% of customer deposits in liquid cash reserves? That means if more than 5% of their customers decide to withdraw their cash and put it under the mattress certain banks might just possibly run out of money. (I discovered this when my FD at Red Lettter Days was arguing against Barclays' rationale to bond 100% of our credit card takings - a £3million pot of money we couldn't touch, which eventually brought the business down due to lack of cash. All it took was a loss of confidence via a few negative media reports, suppliers subsequently withdrawing credit and within days the whole company had collapsed.)
Of course the banks could always pull in monies they have lent out - but with the property market destabilised and so many people in huge credit card debt, just how much of it could they collect without putting scores of people through bankruptcy?
And if the banks run out of cash what happens to all the people who need to get their hands on it?
Sorry to be all doom and gloom, but it would seem to me things are in a very precarious state.
Time to start stocking up on food and planting a vegetable patch...