How Much is it Worth to You?

loren_brothers

loren_brothers

New member
Yep, it's me again. I haven't fussed about anything for a few days ... so here we go!

Of course, all of us have been hearing about this $ 700,000,000,000.00 (yep: that's 7 hundred billion) bail-out for financial institutions.

Why are we 'bailing' out these mega corporations? Let's see:


  • [li]They ripped off consumers for many years by pushing variable rate loan/mortages. (Knowing they would make more money in the future as rates rise.)[/li]
    [li]As rates increased at a faster rate than anticipated, the borrowers are forced to increase their payments. (Thus yeilding more money to the lenders.)[/li]
    [li]Soon the rates exceed the ability of the borrower to make payments on the notes: resulting in the foreclosure on property securing these loans. (Now the lender has BOTH the money AND the house)[/li]
    [li]Cash flows into the lending institutions are now severely restricted (Still have all the past money and properties.)[/li]
    [li]Lenders claim that they can't lend because of cash-flow restrictions (But nobody is giving up their executive perks)[/li]
    [li]Lenders claim the world is going to fall apart if Uncle Sam doesn't give them 700 Billion Bucks. (Nobody cares about the money they already have.)[/li]
    [li]The Lenders get more money, nothing changes, and all the CEO's retire with 350 Billion Bucks worth retirement and performance perks. (And the poor borrower is still living in a tent.)[/li]

So now that we know about the financial professional 'shuck and jive', lets take a close look at another option that I tend to like a lot better!


  • [li]$700,000,000,000.00[/li]
    [li]And 305,000,000 folk in the U.S.[/li]
    [li]less 15,000,000 folk who are illegal immigrants (low estimate),[/li]
    [li]less 25% of these folk because they are not of legal age (18 or younger),[/li]
    [li]Take that $700,000,000,000. Divide it among the 217,500,000 deserving American Citizens ... [/li]

hmmm .... that comes to $3,200.00 for EVERY adult in this country!

Know what I think?

SEND ME THE CHECK AND F*** THE MONEY HUNGRY GRUBBY BANKERS!


Gee...that was fun! :thewave: :hammer: :thewave: :hammer: :thewave:
 
:headbang: LOL Maybe you should be running for President!! Interesting strategy to say the least.
So If I'm not getting $3200 and the bill passes as is, I guess when you reverse that it means I will be paying an extra $3200 in taxes to go into their money grubbing little hands.
I'm sure the execs and CEOs are going to be laughing all the way to the bank when they get bailed out of the mess that they created.
 
:sunny: as an added note, I just watched Newt Gingrich and his views on the bailout. Now this is a man that they should be listening to. To read what he has to say:

http://www.npr.org/templates/story/story.php?storyId=94900671

Per Newt:
Well, the last time we were promised they were going to save us, it was $300 billion; it was a housing bill. Now we have brand-new liberal Democrats, many of whom — for example [Connecticut Sen.] Chris Dodd — was the largest single recipient of money from Fannie Mae and Freddie Mac, and he is the chairman of the Banking Committee. So the guy who got the most money is now going to write a bill to give taxpayers' money to the people who gave him money. Somehow, I am not reassured.
 
I like your breakdown of everything and agree with you. I don't understand why we are doing this but, other important issues are denied or brushed off.

Cin made a statement in the other thread about it though in reguards to my question (why??! was basically my question).

I don't agree with this bill at all. Aren't there other ways to save the economy?
 
I think everyone, even the politicians agree that this whole bailout is BS! But, the important thing to remember is that we are not bailing out the banks, we are bailing out the economy. Let's face it, the whole economic mess isn't solely on the banks. Consumers knew they were taking loans they couldn't pay or they took loans they didn't understand. Gas prices have hit everyone hard. They are taking 150% more than last year and 175% higher than the year before. Talk about inflation in the triple digits. Now, we face winter with new highs in home heating fuel.

Fuel prices effect everything. Everything that is sold in the stores is shipped by some type of fuel driven equipment. Most shipping companies now have to charge fuel surcharges. Most manufacturing costs have increased dramatically due to fuel prices. all this adds to the cost of the end products to us, the consumers.

Now, look at the grocery store. I almost passed out the other day when I went shopping. The inflation in food alone is insane.

So, now, for the basics of fuel, increased mortgage payments due to variable rate mortgages, and food, the people of the us are facing annual inflation well into the double digits while their pay has increased maybe 3%. Most people were living paycheck to paycheck to begin with.

Now, we face a market of where the banks are not lending. Why, they don't have the capital to reinvest in the economy. Businesses rely on credit lines to meet payroll, outstanding debt payments... With the money not being available, businesses outside the lending industry will start to fail and will be particularly devastating to small businesses (the little guy). Each business that fails results in job loss. Job loss increases the foreclosures, reposessions... which makes the situation worse.

So, by bailing out the greedy, poor decision makers, we really our helping ourselves. If they let things continue to spiral out of control, it will get worse for all of us. If the value of the dollar, which is directly effected by the turmoil on Wall Street, continues to decline, the cost of oil will continue to rise. None of us can afford this.

So, although we can look to place the blame on executives who made horrific decisions... the bottom line is a plan needs to be in place to avoid further impact on you and me.

Is the bailout a good move? No. Is it fair? No! Should they do it? Yes! Should they just write a check to the banks for $700 billion? HECK NO! They should have carefully worded provisions and safeguards to protect our money from the idiots who caused the mess in the first place.

You know, I don't blame the homeowner who is in trouble with the variable rate mortgages. Even though the fed rate has been fairly stable, these interest rates have skyrocketed. I would love to see the executives who played these games investigated at the very least.

I also would like to see the gov't release some oil reserves to force down oil prices. It's about time we took control of that situation out of Opec's hands!

Just my 2 cents
 
Talking of money, there is none. Everything is just electronic figures increasing and decreasing through the system. As of 2000, for every $10,000 of our money, they would only be able to pay out $.32 with the gold in Fort Knox that is supposed to back our money. Yet, the government continues to print up funny money with nothing to back it with. I don't see how this is anything less than counterfeiting. Basically, we carry around Monopoly money. Also, according to the Constitution, money is to be coined only in gold or silver only. The Constitution doesn't allow for paper money or notes. Notice that funny money is no longer deemed notes either. It's no wonder the economy always ends up in a mess.
 
I agree with wolfie.. :laughing: I hate that this has to be done. I think the CEO's should have to give back all the millions they received in bonuses. I dont think they should profit one nickle from this and that there should be a salary caps for all of the executives. They want to sit back and blame the homeowner for this mess but these people got rich off the backs of these homeowners, they got rich off of these loans. Everyone needs to take some responsibility.. Treasury secretary, The banking committee, The bank CEO' all the way down to the little mortgage broker who knew that they person in front of him would have a hard if not impossible time paying back the loan and made it anyway. Or they flat out lied to some. And last but not least, the homeowner who decide well, if they want to loan me that much im going to take, or they didnt read there contracts.. personal responsibility seems to be non existent in this society.
 
3mnkids1 said:
I agree with wolfie.. :laughing: I hate that this has to be done.
Click to expand...

It's no picnic for me either. What will the members say? 3MN and the Wolf in agreement! :laughing: :laughing:

Couldn't resist. The way you phrased it has me rolling in laughter.
 
:laughing: LOL A perfect example of how typed words can be taken several ways depending on how a person is reading it. Or was that just a Freudian slip?? :laughing:
 
My mother is going to withdrawl her funds from Washington Mutual today, luckily she has less than $200 left in there and her paychecks were sent to another bank. I don't blame her, I'd get out of that bank as well.
 
So, here is a quiz/contest that is rather well, "fun" wouldn't be the right word, maybe "annoying but you can't help laughing at the craziness":

http://www.thestreet.com/story/1043...wall-street-this-week-credit-crisis-quiz.html

I love the one about how all of these top people whose company failed have not only gotten their "golden parachute" but have already landed on their feet at great new jobs!

I didn't actually enter it because I have no interest in Jim Cramer's book, but you may want to try.


And, personally, on topic, I think congress should take their time and let a few more banks sort it out by being bought/merging like WaMu did and then the total bailout will be much less. Certainly recent history has shown us that Washington screws up when they rush!
 
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