curbyourenthusiasm
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- May 1, 2011
Originally Posted by cguy610
I'm not even going to go past this post with you because it is obvious that you have not done any research on the topic and have had 3 years to learn. I refuse to go back and forth with a person who makes a conscious choice to remain ignorant.Originally Posted by cartune
Originally Posted by cguy610
In the case of Wall Street, there was widespread fraud and these people profited from these bad loans. I believe that bailing out homeowners would have worked better than bailing out the banks. Homeowners would have kept their homes, stabilized home prices in some areas, and mortgages would have gotten paid.
Cant be serious.
Bank of America's acquisition of Merrill Lynch was fraud. Merrill paid bonuses while they were fiscally bankrupt. Citigroup spent bailout dollars at resorts. Banks still are not lending, they are getting money from the Fed interest free, using that cash to buy government bonds, and then earning interest on the government bonds.
The only corporate failures that even come remotely close to the recent financial collapse were the Enron and Tyco failures nearly 11 years ago.
Additionally, you appear to have no problem with having a system in place that not only socializes corporate losses and privatizes the gains, you also appear to support the preferential tax rates on "carried interest" and "long term capital gains", which allow many of these execs to pay 15% on nearly all of their income
ether.
A major problem was the economic crisis was the bad loans given out to home buyers, of course it is defintally a blame to the banks who gave out such low intrest morgages to so many americans.
but why do i not hear anyone talking about the americans that took these ridiculous loans on themselves....who in there right mind would take a loan that on the fifth year you pay a monthly payment that you cant afford. nobody has said anything either on those same americans who lie on income forms to get these loans, and yes it is alos a fault of the banks for not making a good check.
well, kind sir, let me tell you,
these banks gave people loans that were initially low and easy to afford
which would change around year 5.
listen, and read it well
these banks recieved commission 4 and 5 steps of the way
each person was getting paid by signing people up for these loans
the amount of misrepresentation and downright fraud will never be turthfully expressed.
they were telling young families (that heard bush tell the country his goal was to have everyone be a homeowner)
"you pay 900 in rent a month, this loan is 750 a month. you can afford it. do the numbers"
now, you could say its still their fault.....if it was spoken that plainly with no alterior motive...
HOWEVER
i can only imagine how thirsty every single person was along the way
managers APPROVED PEOPLE FOR LOANS THAT DIDNT HAVE THE INCOME
why? CAUSE THEY GOT A BONUS CHECK FOR IT
nevermind they wont be able to pay it on such a massive scale your bank will completely collapse
actually, im sorry, these banks then packaged this debt and sold it, FOR PROFIT, to someone else, and someone else
until people's 401ks were invested in loans that werent going to get paid from the beginning...every banking professional along the way knew that...
AND THEY STILL APPROVED IT
(i could see you making this argument if the banking professionals were ignorant and werent purposely exploiting people for personal profit.....)
WHY?
TO GET MONEY
REAL HARD WORK THERE
what is the fear that keeps these bankers from doing this? what is the downside to gambling the entire worth of the bank that employs you out of pure greed for bonus money?
failing the bank
that fear is gone, because, literally, we gave them our labor, taxed (WE LABORED FOR THEM TO GIVE OUT BONUS CHECKS)
we said "aww, you guys made a mistake and destroyed everything you had? here, take some from us."
but god forbid a $%%@@%# bank give you a school loan at face value....heaven forbid you dont pay 8k in interest on your education....that would be ridiculous and living in a utopia.....
heaven forbid banks actually help and empower the population in which saved it's +#@ from its own horrible decisions
heaven forbid they say "damn, we were really tripping....lets restructure these loans at a more accurate going-rate for housing, not the hyperinflated 'pre-bubble' prices they signed for.....you know, since they literally saved us from bankrupcy after we tried to swindle them and economically rape them....."
HEAVEN FORBID
THEN IT WOULDNT BE CAPITALIST AMERICA WITH WINNERS AND LOSERS
IT WOULD BE AN UNREALISTIC UTOPIA