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Old 03-30-2011, 06:46 PM
 
Location: Land of Free Johnson-Weld-2016
6,472 posts, read 14,866,179 times
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Now what am I going to complain about?

According to CNN:
The Treasury Department announced Wednesday that the money it gave to banks during the financial crisis has been paid back, and then some.

Bank bailout turns a profit - Mar. 30, 2011
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Old 03-30-2011, 06:58 PM
 
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Most of that crowd moved onto hating the Fed a long time ago.
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Old 03-30-2011, 08:01 PM
 
2,024 posts, read 4,834,722 times
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You can continue to complain about the banker wealth transfer bailout because that was debunked quite awhile back.
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Old 03-31-2011, 01:34 AM
 
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Yes, unlikely any of the folks who let Fox News guide their opinions, on the basis of political rhetoric, will jump in and admit they may have been manipulated.
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Old 03-31-2011, 04:55 AM
 
706 posts, read 1,206,314 times
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They paid the money back with more taxpayers money. Think about it people. You keep hearing about zero interest policy, right? Go down to your bank and try to borrow money for zero interest.
The only ones getting zero interest money are the banks. And then they loan it to you for a big spread and huge profits. What's the problem? Check and see the return you now get on CD's, money market etc. They are stealing the money from the savers of america to make huge profits to pay back money.
Either way the average american is getting screwed
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Old 03-31-2011, 05:01 AM
 
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Wow, always a black cloud in that silver lining, eh?
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Old 03-31-2011, 01:54 PM
 
Location: Land of Free Johnson-Weld-2016
6,472 posts, read 14,866,179 times
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Quote:
Originally Posted by jimmyP View Post
They paid the money back with more taxpayers money. Think about it people. You keep hearing about zero interest policy, right? Go down to your bank and try to borrow money for zero interest.
The only ones getting zero interest money are the banks. And then they loan it to you for a big spread and huge profits. What's the problem? Check and see the return you now get on CD's, money market etc. They are stealing the money from the savers of america to make huge profits to pay back money.
Either way the average american is getting screwed
I can debunk that as well. I am a business owner and I did have a little issue with not getting the low interest rates for a bit after the "crash" but about 9 months ago, I got a lot of FRESH offers from credit card companies for Zero interest rate cards. I still miss the old days of no 3% transaction fee, but it's better than 12%.

Good for me, because my taxes and other expenses had quadrupled and I really needed the money.

Yep, credit is terrible, but it's good it's there when you need it. I also refinanced within the same timeframe at a low rate. So the banks DID lend money to someone. I am a big enough person to say I was wrong. I am actually pleasantly surprised.
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Old 03-31-2011, 04:26 PM
 
Location: Conejo Valley, CA
12,470 posts, read 18,215,974 times
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Quote:
Originally Posted by jimmyP View Post
They paid the money back with more taxpayers money. Think about it people. You keep hearing about zero interest policy, right? Go down to your bank and try to borrow money for zero interest.
The only ones getting zero interest money are the banks. And then they loan it to you for a big spread and huge profits. What's the problem?
You're ignoring the details here.... The only rates that are zero percent are short-term rates. The vast majority of consumer or business loans aren't short-term, they are long-term (one or more years). The banks are only get very short-term loans at zero percent, if they decide to use this money to fund loan term loans they are taking on significant risks. The spread is only temporary, they have to price in future expectations of interest rates or risk a negative spread, that is, borrowing money at a higher rate than it is loaning money for.

Also, in terms of consumer credit, what you're saying isn't really accurate either. On a weekly basis I get credit occurs for 0% for one year...
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Old 03-31-2011, 11:29 PM
 
5,607 posts, read 9,896,516 times
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One could get into the whole near zero rate situation if they want, but I think the majority of the credit for TARP turning into a positive return for the Treasury came once the assets people were marking down to near zero turned out to be worth something. Banks got in trouble holding a ton of MBS which at the height of the crisis were being marked way down and if they were sold/traded were fetching 20-30 cents on the dollar. A lot of that stuff turned out to be worth a lot less than face value, but not 70% less.
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Old 04-01-2011, 05:07 AM
 
706 posts, read 1,206,314 times
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Quote:
Originally Posted by user_id View Post
You're ignoring the details here.... The only rates that are zero percent are short-term rates. The vast majority of consumer or business loans aren't short-term, they are long-term (one or more years). The banks are only get very short-term loans at zero percent, if they decide to use this money to fund loan term loans they are taking on significant risks. The spread is only temporary, they have to price in future expectations of interest rates or risk a negative spread, that is, borrowing money at a higher rate than it is loaning money for.

Also, in terms of consumer credit, what you're saying isn't really accurate either. On a weekly basis I get credit occurs for 0% for one year...
They have been rolling these zero loans for over 2 years. They are being well rewarded for the risks. And the guy who is all excited about zero interest credit cards? Talk about short term. The banks can raise those rates over night. Save the banks at the expense of the savers. I asked a simple question- what do you get for CD's, money market or savings rates? The banks are amassing huge reserves at the expense of the prudent savers in america.
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