2008 Wall Street Crisis: www.investmentbankeronlife.com A Timeline

January 11: Bank of America buys mortgage lender Countrywide Financial for $4 billion in an all-stock deal. 2008 www.investmentbankeronlife.com

Bank of America buys mortgage lender Countrywide Financial for $4 billion in an all-stock deal.

March 16: JP Morgan Chase buys brokerage firm Bear Stearns for $2/share in a deal backed by the Fed and Treasury Department. The price is later revised to $10/share. 2008 www.investmentbankeronlife.com

JP Morgan Chase buys brokerage firm Bear Stearns for $2/share in a deal backed by the Fed and Treasury Department. The price is later revised to $10/share.

July 11: IndyMac is seized by the FDIC after depositors withdraw $1.3 billion over an 11-day period. This brought to 12 the number of banks seized by FDIC in 2008 . 2008 www.investmentbankeronlife.com

IndyMac is seized by the FDIC after depositors withdraw $1.3 billion over an 11-day period. This brought to 12 the number of banks seized by FDIC in 2008 .

July 13: Government-sponsored mortgage finance companies Fannie Mae and Freddie Mac are nationalized by the federal government in an effort to support the U.S. housing market . 2008 www.investmentbankeronlife.com

Government-sponsored mortgage finance companies Fannie Mae and Freddie Mac are nationalized by the federal government in an effort to support the U.S. housing market .

September 7: The federal government takes control of financial giants Fannie Mae and Freddie Mac, which were nationalized in July . The two hold or guarantee about half the nation's $10 billion in mortgage loans. 2008 www.investmentbankeronlife.com

The federal government takes control of financial giants Fannie Mae and Freddie Mac, which were nationalized in July . The two hold or guarantee about half the nation's $10 billion in mortgage loans.

September 15: Investment bank Lehman Brothers files for Chapter 11 bankruptcy protection . Rival Merrill Lynch agrees to be taken over by Bank of America. The Dow Jones fell 504 points, the index’s worst since the 2001 terrorist attacks. 2008 www.investmentbankeronlife.com

Investment bank Lehman Brothers files for Chapter 11 bankruptcy protection .

Rival Merrill Lynch agrees to be taken over by Bank of America.

The Dow Jones fell 504 points, the index’s worst since the 2001 terrorist attacks.

September 16: Insurer American International Group (AIG) is rescued by the federal government through an $85 billion loan package in return for an 80% stake in the company . The move comes amid a cash crunch, triggered by $18 billion of losses over three quarters, a sinking stock price and debt downgrades. 2008 www.investmentbankeronlife.com

Insurer American International Group (AIG) is rescued by the federal government through an $85 billion loan package in return for an 80% stake in the company . The move comes amid a cash crunch, triggered by $18 billion of losses over three quarters, a sinking stock price and debt downgrades.

September 19: U.S. Treasury Secretary Henry Paulson calls for the government to spend hundreds of billions of dollars to take toxic mortgage assets off the books of financial companies to restore financial stability . News of the bailout plan helps world stock markets soar. 2008 www.investmentbankeronlife.com

U.S. Treasury Secretary Henry Paulson calls for the government to spend hundreds of billions of dollars to take toxic mortgage assets off the books of financial companies to restore financial stability . News of the bailout plan helps world stock markets soar.

September 20: Treasury Secretary Henry Paulson outlines details of a $700 billion bailout plan for firms troubled by bad mortgage debt. A U.S. bankruptcy judge approves a revised version of Barclays purchase of the core U.S. business of Lehman. 2008 www.investmentbankeronlife.com

Treasury Secretary Henry Paulson outlines details of a $700 billion bailout plan for firms troubled by bad mortgage debt.

A U.S. bankruptcy judge approves a revised version of Barclays purchase of the core U.S. business of Lehman.

September 21: Goldman Sachs Group Inc. and Morgan Stanley become bank holding companies regulated by the Fed, essentially ending Wall Street's investment banking model. 2008 www.investmentbankeronlife.com

Goldman Sachs Group Inc. and Morgan Stanley become bank holding companies regulated by the Fed, essentially ending Wall Street's investment banking model.

September 23: Warren Buffett’s Berkshire Hathaway invests $5 billion in Goldman Sachs, citing the rescue plan as a contributing factor. 2008 www.investmentbankeronlife.com

Warren Buffett’s Berkshire Hathaway invests $5 billion in Goldman Sachs, citing the rescue plan as a contributing factor.

September 25: Washington Mutual is seized by the FDIC, making it the largest U.S. bank failure, with $307 billion in assets. JPMorgan Chase buys WaMu’s banking assets for $1.9 billion. 2008 www.investmentbankeronlife.com

Washington Mutual is seized by the FDIC, making it the largest U.S. bank failure, with $307 billion in assets.

JPMorgan Chase buys WaMu’s banking assets for $1.9 billion.

September 29: U.S. House of Representatives rejects the $700 billion rescue plan in a stunning 228-205 vote. The Dow Jones falls by a record 777 points. Wachovia agrees to sell most of its assets to Citigroup in a deal brokered by regulators. 2008 www.investmentbankeronlife.com

U.S. House of Representatives rejects the $700 billion rescue plan in a stunning 228-205 vote. The Dow Jones falls by a record 777 points.

Wachovia agrees to sell most of its assets to Citigroup in a deal brokered by regulators.

October 1: U.S. Senate passes a modified U.S. financial rescue plan aimed at restoring global financial stability, sending the measure to the U.S. House of Representatives for a vote on Friday. 2008 www.investmentbankeronlife.com

U.S. Senate passes a modified U.S. financial rescue plan aimed at restoring global financial stability, sending the measure to the U.S. House of Representatives for a vote on Friday.

October 3: President Bush signs the historic $700 billion rescue bill approved just hours earlier by the U.S. House of Representatives in a 263-171 vote. Wells Fargo agrees to buy Wachovia for $15.4 billion or $7 a share, better than Citigroup’s earlier offer of about $1 a share. 2008 www.investmentbankeronlife.com

President Bush signs the historic $700 billion rescue bill approved just hours earlier by the U.S. House of Representatives in a 263-171 vote.

Wells Fargo agrees to buy Wachovia for $15.4 billion or $7 a share, better than Citigroup’s earlier offer of about $1 a share.