Tuesday, February 10, 2009

Bail Out Banks? WTF For?

(Image courtesy of pixelmarx.com)

Banks need to be punished. There should be no bail out. Period. I don't agree with any bank bailout at all. What we should be doing is absolving (or removing a large percentage of) all consumer debt in this country. If some banks go under, so be it. We can rebuild the country with credit unions and new "smarter" banks. Time to put the shoe on the other foot. A government intervention can at the very least LOWER consumer debt by creating some sort of "forgiveness" for portions. Perhaps a rebate of interest paid? Maybe a re-evaluation of loans based on "real" home values, versus the "bubble" prices everyone has paid - with adequate compensation paid back to owners for overpayments (or the abrogation of loans when that "real" value has been paid). I mean, it's all debt "on paper", isn't it? Any political party that would advocate this, would win a landslide of support from the general public. Imagine a Canada where there was very little consumer debt? Where we rebuild the economic system with STRICT controls on lending? Why give the money to bank executives, in some desperate hope that it will trickle down to the consumer in way of more "credit"? What the hell for? Credit is what got us into this mess in the first place!

Forgiving loans would jump start the economy from square one. Businesses would be solvent, consumers would be able to buy, because they would have little debt to repay. The economy would start moving ahead again - even though it would be a little "Canada-focused" for a while.

It may soon be time to "storm the Bastille"... lol...

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foottothefire said...

As I understand it, Canadian banks weren't in trouble, they bought a ****load of American 'bundles' when Harper opened the door but, Harper bought all the bad mortgages up...with our tax dollars.
Meanwhile, TD bank (ruthless, cutthroat TD bank - where I'm invested) and others are making money hand over fist.
"deregulatin' Steve", is the problem. Someone needs to ask him who suggested deregulation (I know, I know. I mean, who in Canada).

saskboy said...

I'm not sure if this punishes people like me who save a little bit, and don't carry debt loads we can't realistically pay off.