Big Banks get Help then Screw People!

[SASKFARMER3]

Big banks asked for and got help right away when the Crap hit the fence in the USA. Now it seems that these guys got their cake now want to eat it. Their not willing to loosen there rates and help get the economy going. Or willing to refinance etc. Boy and one wonders why I am against most things. Farmers would be smarter to borrow most of their equipment etc from FCC. Rates better, Process simpler and if the Crap really hits the fence its Fed backed so it should be easier to deal with than the Banks. They have all these rules on borrowing money yet they take no risk. Yet these are the same people that ask for bailout.

[jensend]

and now we know why the whole economy is about to go for a crap. some businesses have gotten so big and pwoerful that the system is broken and no longer works.

[agstar77]

Credit card companies are putting the screws to their customers in the U.S. Raising credit cards rates by 50 %. These are some of the same groups that got bailouts.

[bgmb]

If the US gov really wanted to help instead of bailing out credit card companies they would buy up the accounts at 50cents on the dollar (that's all the companies are going to collect anyway) and then term the debt out over 5 years for ppl and give them a reasonable interest rate so they have a chance to actually get out of debt.

[Hopperbin]

Total screw job. Just glad I don't have to renew any of my loans well except for one but if they try to tell me 3percent over 4 prime I will start to writing a check to pay it off and ask manager to give me prime or this one is done.
It is no wonder everyone is asking the gov't to bail them out. Most of this bail money is cheap loan money anyway.
What are them big companies getting anyway from the gov't is it possibly the fed reserve rate? Wouldn't take long for the company accountant and lawyer to make a decision we need money.

[liberty]

I see that the Socialist Workers' League has a lot of members posting today.

I want to say first and foremost that no one, not banks or car companies, should be bailed out by taxpayers. They should be allowed to go broke. Contrary to popular belief, this is not a recipe for chaos. It is, in fact, an orderly process, in which creditors take over the bankrupt entities and restructure them to turn a profit, or merge them with profitable companies.

Having said that, the proper course of action for banks in this economy is to rein in lending, not increase it. We're now suffering from the effects of too much credit and lending, which went to purchase non-productive assets like cars and houses.

I think it's a great step that credit card interest rates are at 50 per cent. Maybe that will encourage consumers to think twice before making frivolous purchases like monster homes, SUV's and big screen TV's. Maybe people will be encouraged to save and invest in truly productive companies (and GM is not one of those), instead of racking up debt that they cannot afford.

The real culprit here is not "big" business, but socialist central banks, who sparked the real estate bubble with unrealistically low interest rates. We're now paying the bill for a pointless exercise in trying to get something for nothing. This will take years, not months, to finally sort out.

[jensend]

i guess the question is how we get to a rational economy again, if we do. there is no guarantee that things will get sorted out. liberty, i appreciate what you're saying but we haven't been living under law of the jungle conditions and to suddenly invoke that will cause more chaos and social unrest than most can imagine. bush made a good point yesterday that orderly bankruptcy might be the best option for the automakers. it may cost some money but might save some lives over the long haul.

[cottonpicken]

http://ca.youtube.com/watch?v=RYX1AgEV0vo

Look at the date before you watch

[SASKFARMER3]

One US guy thinks like I do, Wow isn't it how business use to be done if you had money you could do stuff and you succeeded, If you borrowed money some times you succeeded, and if you didn't have a pot to pea you got taken for a ride.
Well here a year and 1/2 ago the one guy was talking about the doom and gloom that was going to happen yet every other expert was talking about how wonderful it was and that certain stocks were excellent because of their sound financial management. HA HA Who went bankrupt.
Excellent piece.

[cottonpicken]

http://www.europac.net/

his website

You probably might not want to here what he is saying recently,not in terms of farming but broad market predictions.

[vagabonddreamer]

so the question becomes...is the US economy SO important with respect to the functioning of the global economy...that foreign money will ride it out with the Americans...or have countries like China and India and Russia...become islands unto themselves to the extent that they will let the Stars and Stripes wallow??

[Kodiak]

You're so right liberty. I amazes me - no, it actually chills me to the bone - how short sighted politicians and their third rate economist and political advisors think the antidote is ........ do more of the same to get us out of what we got into.

We've been over-stimulated for 20 years with too much cheap money. And we're about to get more stimulus to fix the problem! More money at 0% interest.

Ever try to put out a fire by pouring gasoline on it?

[Kodiak]

If our politicians had an ounce of sense or a pinch of courage, they'd give this sick economy the right medicine in the right dosage. 1 tablet of Restraintacillin and 2 measures of Taxreductidone. It might be bitter tasting at the start, but we'd begin to heal this bad case of creditosis. Instead, we're going to get a highly infectious and acute case of inflationitis and interest rate altitudinous-stratospheritosis - along with severe creditaralysis.

[TOM4CWB]

SF3,

In the big 'bail out'... I do not see anyone being given any money... yet.

The banks, GM/Chrysler, everyone so far... have been lent money... not been given money here in Canada.

I hear you saying you can afford to go on strike for a year... and produce nothing... which tells a big big story.

You are prepared to do exactly what you say the big banks are doing!

[SASKFARMER3]

Tom the banks are getting protection from bad loans backed by Govt, Correct. And GM and Chrysler, are getting loans to keep them going. But isn't it kind of funny when the Crap hits the fan Billion dollar a year profit makers again Billion dollar a year profit makers are asking for help. Yes maybe just maybe we could not seed a crop in 2009 thanks to some luck and a big crop in 2008. But lets remember our CWB keeps us from achieving and selling $20.00 wheat and the grain companies stopped letting us price more than 3 months out when prices finally went nuts for the first time in 30 years. We didn't make Billions and Billions and Billions. But we sure paid billions for Fert Chem and Seed. Oh and Bank Fees.