Re: The Sky Is Falling!!

You seem to forget over 60% of the voters have money in stocks, even more
when you add in pension plans and insurance policies. They will not take
kindly to what you suggest on election day ;)


"SMS" <scharf.steven@xxxxxxxxxxx> wrote in message
news:L0fEk.1291$W06.17@xxxxxxxxxxxxxxxxxxxxxxx
in2-dadark@xxxxxxxxx wrote:
They keep saying if we use this 700 billion to buy up some of those bad
mortgage loans from banks, that 'should' cause those banks to make new
loans.

If making new loans is so important, why don't we make the new loans
ourselves and by pass the banks that were stupid enough to get in this
mess in the first place..? We guarantee student loans all the time.

We could set up parameters that have to be met for the new loans and
guarantee them through banks that have a clean balance sheet.

I really don't think the government wants to do everything they can to
solve the ecomony's problem as much as they want to solve their rich
friend's problems...

While not doing the bailout will cause significant disruption in the
markets, I think that maybe it's time to let this happen rather than
trying to forestall it forever.

Shore up the FDIC so no depositor loses money, but let these banks and
financial institutions go under so at least the stockholders in the
companies, and the executives are wiped out. Then let other banks take
over the retail banking, which apparently is lucrative. There are plenty
of smaller banks that can lend money to individuals.

I think the bigger issue is that only the large financial institutions are
able to do the big corporate loans which keep a lot of sound businesses
going. It has very little to do with the mortgage loan business, other
than those mortgage loans were a source of income to the banks that
allowed them to do corporate loans.


.

Relevant Pages

  • Re: Obamas Bailout is Artificially Inflating Home Values
    ... market started to go bust after the dot com debacle many investors ... pulled their money out and invested in real estate - hoping to benefit ... afford the homes but because they THOUGHT they could afford the loans. ... banks start being sensible instead of going from giving everyone & anyone ...
    (rec.gambling.poker)
  • The Fed Officially Kicks Off the Next Recession
    ... The Fed Officially Kicks Off the Next Recession ... commercial real estate loans. ... official tools to control the money supply: ... (telling banks how much of their deposits they cannot lend. ...
    (misc.invest.stocks)
  • Re: "The property bubble hasnt quite reached its zenith..."
    ... We "inject a loan" into the Spanish banks to increase their liquidity; ... But what is *real* money? ... loans and other investments) made the problem worse because it allowed ...
    (alt.usage.english)
  • Re: Way OT Again: Credit Default Swaps - the REAL reason for the financial meltdown
    ... here's what the banks have been doing while you thought they had ... money to other banks, and keeps 10% of it as collateral. ... The banks used each loan of $100 to make additional loans, ... Let's say that several of those questionable investments fail. ...
    (misc.transport.road)
  • Re: America saved the world during the credit crunch
    ... We're talking no money in cashpoint machines, no money for wages, chain ... that went to bail out foreign private banks and corporations," says Sen. ... Bank of America got more than 1,000 loans, and Merrill Lynch got 226 ... borrowing without good reason, that money actually has some worth (or at ...
    (uk.politics.misc)