In recent years, a new trend called the “Trump Curse” has emerged on social media. The trend suggests that any person or company who supports or is associated with Donald Trump may suffer sudden misfortune or failure. The newest addition to the growing list of “Trump Curse” victims is Signature Bank, which closed Donald Trump’s accounts in 2019.
The Trump Organization had been a client of Signature Bank for over a decade. However, following the deadly Capitol riot in January 2021, Signature Bank severed all ties with the former president and his family members, citing that Trump’s role in the insurrection was inconsistent with the bank’s values. The bank’s decision left Trump with just two remaining banks that do business with him: Deutsche Bank and Ladder Capital.
Less than two years after Signature Bank closed Trump’s accounts, the bank has recently experienced a significant setback. Signature Bank was expected to excel in the second quarter of 2021, but the bank’s earnings report showed a net loan charge-off of $650 million. Experts have suggested that the charge-off may be linked to risky real estate loans that Signature Bank extended to properties and businesses associated with Trump.
Moreover, Signature Bank has also been hit by a fraud scandal involving the company’s acquisition of an Israeli fintech company, OnDeck. Signature Bank is reportedly facing a possible shareholder lawsuit after it was revealed that some of OnDeck’s loans had been misrepresented, leading to significant losses for the company.
Although the events that led to the bank’s recent setbacks are complex and varied, many social media users are quick to link Signature Bank’s troubles to the “Trump Curse.” They argue that the bank’s association with Trump and his business ventures have led to its recent financial troubles.
However, critics of the trend point out that the “Trump Curse” is simply a coincidence, and that there is no evidence to suggest that there is a supernatural force at work. They stress that the causes of entities’ misfortunes and failures are usually more complex and multi-faceted than a simple link to a political figure.
In conclusion, while it remains uncertain whether or not the “Trump Curse” is real or merely a coincidence, it is clear that Signature Bank has been facing significant challenges lately. Whether or not these challenges are related to its association with Donald Trump is up for debate, but the bank’s recent setbacks demonstrate the unpredictable and turbulent nature of the financial world.