Meredith Whitney: Banks Aren't Ready For A Double Dip (C)

The banks are going to need to raise more capital Meredith Whitney says, and that's not good for shareholders.

As first reported in the NY Post, Whitney said it appears there is a "double dip" decline in housing, and banks aren't prepared to handle that right now.

"They need higher capital," Whitney said.

"There's nothing more important to the economy than unemployment," said Whitney. "You have to make structural changes in the economy to address that problem. They're not monetary issues."

Whitney is the president of Meredith Whitney Advisory Group who became famous for writing a particularly negative piece on Citigroup (NYSE: C) in October 2007, before the start of the financial crisis.