Report: US makes $4 billion from bailout banks

[revelated]

It's the same thing I said before. I only provided an analogy to illustrate the fact that if I'm owed money, I don't make profit until that money has been paid back in full PLUS any interest I demanded as part of that debt. That's essentially what some here are saying - to call it "profit" is a misnomer while we're still owed money from the bailout package. The reason is simple: there's no guarantee will get all of that money back.

[ChunkyMonkey]

Originally Posted by jimhcom

When the entire original $700 billion is repaid, (which will never happen) perhaps we can begin to assess if we made a profit or not. Until then we are in the hole. To say it was a money maker is ludicrous propaganda.

So, with your logic, no one should be crying about huge losses either until we know how much is paid and how much the government would get from selling their stakes in various entities. To say it is a money loser is also ludicrous propoganda.

[jimhcom]

Originally Posted by ChunkyMonkey

So, with your logic, no one should be crying about huge losses either until we know how much is paid and how much the government would get from selling their stakes in various entities. To say it is a money loser is also ludicrous propoganda.

You think it is realistic to assume you will get the money back that was given to Fredie and Fannie, GM, Wachovia, and the other bankrupt entities? I think the assumption that it is a money looser is a pretty easy call.

[user_id]

Originally Posted by jimhcom

You think it is realistic to assume you will get the money back that was given to Fredie and Fannie, GM, Wachovia, and the other bankrupt entities? I think the assumption that it is a money looser is a pretty easy call.

You're not getting the point...you chicken littles talk about the "bailouts" as if the loses have already been realized but then complain up a storm when someone posts about the government making profit on one of the deals because the total loses have yet to be realized

[floridasandy]

here is a list to put the "payback" in perspective:
Treasury's bank bailout list - CNNMoney.com

those are the banks who got the money and the highlighted are the banks who paid back the money. i don't think there is any room for celebration based on this list, do you?

[jimhcom]

Originally Posted by user_id

You're not getting the point...you chicken littles talk about the "bailouts" as if the loses have already been realized but then complain up a storm when someone posts about the government making profit on one of the deals because the total loses have yet to be realized

Taxpayers Unlikely to Recover GM, Chrysler Investment (Update2) - Bloomberg.com

Ok well here is 80+ billion that they are admitting now is lost never to be repaid, and this is only the beginning. We cannot even account for where most of the 700 billion went, much less expect to be repaid. 4 billion in "profit" looks really insignificant next to 80 billion in losses. Chicken Little? Yea right, get a clue.

[floridasandy]

bank loan amount: $204,476,764,000
Total repaid: -$70,387,452,000
Capital Purchase Program total still due: $134,089,312,000

[Bob from down south]

Of course chalking up a couple hundred million in profit from a financial institution's TARP repayment when they received five or ten billion of our money through the back door in pass-through payments from the AIG bailout is the exact sort of accounting foolishness that got us here.

It's an insider-rigged, corrupt, stinking mess.

[tallrick]

WOW I just made 10.00 from selling lemonade! Never mind that it took me 100.00 in supplies to do it.

[user_id]

Originally Posted by jimhcom

Ok well here is 80+ billion that they are admitting now is lost never to be repaid, and this is only the beginning. We cannot even account for where most of the 700 billion went, much less expect to be repaid. 4 billion in "profit" looks really insignificant next to 80 billion in losses. Chicken Little? Yea right, get a clue.

You are just demonstrating my point, counting the loses while ignoring that the bailout was a bunch of loans and the performance of those loans will only be known long term.

Any collection of loans is going to have defaults, the question is where the gains on the performing loans will make up for it. This question won't be answered for many years.