Anyone mocking my 3-4 trillion dollar estimate on how much we've given to the banks in the last year counting ALL the federal reserve banking loan programs?
Probably.
Posted by Danlo the Wild (Member # 5378) on :
Oh. and, when the tax payers are shoveling trillions of dolars of cash into the banks from their $7.00 an hour working jobs, you'd think it would be BEST to stop paying dividends. Right? RIGHT? RIGHT!?!?!?
Posted by AvidReader (Member # 6007) on :
The biggest banks are actually worse than that. Some of them are backing the legislation that proposes allowing bankrupcy judges to change the terms of a mortgage. Say a guy gets a mortgage for a $150 million house. He loses his job and files Chapter 13. The judge sees that his house is only worth $100 million now and changes the mortgage to reflect it. The title company gets to keep the money, and the bank is just out that money.
What that means is that most banks will stop lending to anyone who doesn't have 30 years of perfect credit. Only the biggest banks getting the bailout money will still offer mortgages to anyone else, so everyone will have to go to them. When folks do default, they can just hold their hands out for more bailout money.
Personally, I'm wondering if I should look into jobs with title companies instead of the one I've got at the credit union. </hyperbole> We're hoping to break even this year, but millions in loses on mortgages would change that real quick.