Paying my neighbors bills.

[Peejay]

you are NUTZ
if you deposit $10,000 you only have $10,000

So then, when this $90,000 is repaid from loans made possible by my $10,000, who gets the extra $80,000 plus interest ?

where the **** are you getting $80,000 from
the bank can loan out 90% of their deposits(according to you) so if 9 people deposit $10,000 then they have $90,000 in assests they can loan
it still belongs to those 9 people that deposited the money
you are a ******* moron

You think that $90,000 is 90% of $90,000 ? I've decided not to deposit in your bank.

 

[Care4all]

the CRA was PART of the problem
also part of the problem was people falling for the equity line loans and reverse mortgages

there is no such thing as free money

How? Where was the CRA's involvement and when did this involvement come in to play and with whom did it come in to play with, that had their hands in this mess?

people from all aspects of this crisis with their hands in this mess were interviewed on this program last night...

the people taking out some of these loans
the people who were foreclosed on
the people who refinanced
the guys opening up these shotty mortgage peddling firms...
the bank guys that decided to go ahead and under write the loans from these shotty firms...
the guy who made a billion bucks by hedging the market short, betting on the housing market to fall
the insurance guy who took the bet
the guys from the rating agency on why they rated these risky mbs's as AAA rating.
the fed who kept interest rates low and also encouraged it

It's a spider web of people working in unison, yet some how without even knowing it, to scam alot of people out of a lot of money, until the House of Cards came tumbling down on them and one guy alone who went to many of these mega banks and even the ratings agency, showing them and warning them it was all going to fall, but the banks and the others refused to listen to his warning no matter how hard he tried, so he then began betting that the house of cards would fall because they did not even care a bit about his warnings...so then hedged a bet, that it would fall...and it did....which made him 1 billion...

please see the Documentary called, House of Cards that was shown on cnbc last night....I am certain it will be shown again...

trying to make this as though the CRA was a major part in this is not what I believe to be true now...a tiny part, as far as i have found out...but not that much more...this crisis is so way, way, way bigger with much bigger players that couldn't give 2 hoots about a community reinvestment act....who could be trying to NOW cover their tracts and say "they made me do" and try to falsely use the CRA as a scape goat....but really, all the ones on the documentary yesterday, didn't even mention the CRA as being a catalyst or president bush's initiative to put more people in to homes programs....these are things other people are using but these guys that were hands on, didn't even mention either as being a reason of why they made the stupid decisions they did...

I thought the same as you 6 months ago Dive....but NOT any more....so, i respectfully disagree....



Care

i dont bother with any NBC show
they are all so partisan i dont believe anything on them

Well, it was not msnbc which is very partisan i agree, but this is their cable network that is dedicated soley for business and financials 24/7, my fav suzi orman has got a show or two on there as well, and it is worth watching...you can probably view it off the net, (if you have a faster broadband speed than i get with wireless)....

don't watch it on a full stomach though, the whole thing was sickening...

Care

 

[Peejay]

Aside from the math mistake, if the bank records this $90,000 in deposits and then loans out $81,000 and records that in the account of the borrower, do you not understand that now there exist $171,000 in recorded deposits ? The depositor has $90,000 and the borrower has $81,000. Where did it come from ?

 

[DiveCon]

Aside from the math mistake, if the bank records this $90,000 in deposits and then loans out $81,000 and records that in the account of the borrower, do you not understand that now there exist $171,000 in recorded deposits ? The depositor has $90,000 and the borrower has $81,000. Where did it come from ?

you realize that those two are recorded as assests and liabilities, right?

 

[Peejay]

Aside from the math mistake, if the bank records this $90,000 in deposits and then loans out $81,000 and records that in the account of the borrower, do you not understand that now there exist $171,000 in recorded deposits ? The depositor has $90,000 and the borrower has $81,000. Where did it come from ?

you realize that those two are recorded as assests and liabilities, right?

So ? Where did it come from ? How can the bank claim to satisfy both obligations at once ?

 

[WillowTree]

Aside from the math mistake, if the bank records this $90,000 in deposits and then loans out $81,000 and records that in the account of the borrower, do you not understand that now there exist $171,000 in recorded deposits ? The depositor has $90,000 and the borrower has $81,000. Where did it come from ?

you realize that those two are recorded as assests and liabilities, right?[/QUOTE]




aka known as debits and credits..

 

[mash107]

I am 20 years old. Just starting my life out. I live within my means, and i don't purchase things ie. cars, HOUSES, boats, etc. etc. that I can't afford. And to hear about all these houses being forclosed because people decided to bite off more than they can chew, well call me a Redneck Republican, but its not my job to pay there bills. I would rather be considered a "Idiot Cowboy" who can pay his or her own bills rather than make millions of people pay them for me. I dont care that there trying to help people from there houses being forclosed, the point is, they should have spent a little more time going over there income, and making sure they could afford what they were doing. Instead they were worried about living in a classy more expensive neighborhood to look good. My parents spent 20 years of there life serving this country to then retire and now work for the government. Now at the age of 45, 48 after YEARS AND YEARS of hard work, they just bought there dream house. They waited this long, knowing that if they would have done it any earlier they couldnt have afforded it. My point is I dont want to, and shouldnt have to pay my neighbors bills. Its not my job, nor do I owe it to anyone.

did you have a problem paying for failed bankers who thought they were on a gravy train and didn't do their own risk assessment?

did you have a problem with predatory lenders?

Me? I don't think my tax money should have gone to pay for an unnecessary war in Iraq when they want to cut funding to my son's school.

But I'm kinda funny that way.

Yes, bankers should not be bailed out. All bailouts are immoral, because hard working people actually lose their jobs to bail someone out who made mistakes. That's always the case, and the republicans that voted for these bailouts are the same that voted for the budgets with the biggest spending increases seen in 50 years, so don't believe for a second they're conservative.

Schools shouldn't be funded by the federal government, neither. It should be funded by your city, or your state, as says so in the Constitution, which I suggest you and all politicians read for once.

 

[Peejay]

Aside from the math mistake, if the bank records this $90,000 in deposits and then loans out $81,000 and records that in the account of the borrower, do you not understand that now there exist $171,000 in recorded deposits ? The depositor has $90,000 and the borrower has $81,000. Where did it come from ?

you realize that those two are recorded as assests and liabilities, right?[/QUOTE]




aka known as debits and credits..

Bingo.....the magic words.

 

[DiveCon]

Aside from the math mistake, if the bank records this $90,000 in deposits and then loans out $81,000 and records that in the account of the borrower, do you not understand that now there exist $171,000 in recorded deposits ? The depositor has $90,000 and the borrower has $81,000. Where did it come from ?

you realize that those two are recorded as assests and liabilities, right?

So ? Where did it come from ? How can the bank claim to satisfy both obligations at once ?

you are making HUGE math errors

 

[DiveCon]

you realize that those two are recorded as assests and liabilities, right?

aka known as debits and credits..

Bingo.....the magic words.

yes, but you are WAY wrong

 

[Peejay]

you realize that those two are recorded as assests and liabilities, right?

So ? Where did it come from ? How can the bank claim to satisfy both obligations at once ?

you are making HUGE math errors

Ok. Show us.

 

[Peejay]

aka known as debits and credits..

Bingo.....the magic words.

yes, but you are WAY wrong

Well alrighty then. Let's everyone go withdraw all of our deposits from the bank. No problem right ? They have it, right ?

 

[DiveCon]

Bingo.....the magic words.

yes, but you are WAY wrong

Well alrighty then. Let's everyone go withdraw all of our deposits from the bank. No problem right ? They have it, right ?

that is what is called a "run" on the banks
and no, they wouldnt have it
because some of it is invested
you have shown that you have no clue how ther banking system works, and i'm not one ready to educate you

 

[Peejay]

yes, but you are WAY wrong

Well alrighty then. Let's everyone go withdraw all of our deposits from the bank. No problem right ? They have it, right ?

that is what is called a "run" on the banks
and no, they wouldnt have it
because some of it is invested
you have shown that you have no clue how ther banking system works, and i'm not one ready to educate you

Yeah a run on the banks. Neat little term. What does it mean ? Not glossed over or anything. Does it mean that all of these people all over the country who pay the banks to safeguard their cash have been duped ? The banks don't have their money ? Why do the banks make false statements to people every month then ? They send you a little report claiming that you have X amount but they really don't have the money ? Do they ? Shouldn't we, by all means, be able to run on the banks and get what is ours ?

I think we both understand the banking system. The difference is that one of us thinks free money for the bankers is OK and the other doesn't.

 

[DiveCon]

Well alrighty then. Let's everyone go withdraw all of our deposits from the bank. No problem right ? They have it, right ?

that is what is called a "run" on the banks
and no, they wouldnt have it
because some of it is invested
you have shown that you have no clue how ther banking system works, and i'm not one ready to educate you

Yeah a run on the banks. Neat little term. What does it mean ? Not glossed over or anything. Does it mean that all of these people all over the country who pay the banks to safeguard their cash have been duped ? The banks don't have their money ? Why do the banks make false statements to people every month then ? They send you a little report claiming that you have X amount but they really don't have the money ? Do they ? Shouldn't we, by all means, be able to run on the banks and get what is ours ?

I think we both understand the banking system. The difference is that one of us thinks free money for the bankers is OK and the other doesn't.

there is no free money

the money loaned out comes back in with interest
some of that interest is paid to the people that deposited the money and the rest is used for the bank, its not free

 

[Peejay]

that is what is called a "run" on the banks
and no, they wouldnt have it
because some of it is invested
you have shown that you have no clue how ther banking system works, and i'm not one ready to educate you

Yeah a run on the banks. Neat little term. What does it mean ? Not glossed over or anything. Does it mean that all of these people all over the country who pay the banks to safeguard their cash have been duped ? The banks don't have their money ? Why do the banks make false statements to people every month then ? They send you a little report claiming that you have X amount but they really don't have the money ? Do they ? Shouldn't we, by all means, be able to run on the banks and get what is ours ?

I think we both understand the banking system. The difference is that one of us thinks free money for the bankers is OK and the other doesn't.

there is no free money

the money loaned out comes back in with interest
some of that interest is paid to the people that deposited the money and the rest is used for the bank, its not free

Wow. They use my money to loan at interest and keep a share for themselves ? That's what you are saying, right ?

 

[DiveCon]

Yeah a run on the banks. Neat little term. What does it mean ? Not glossed over or anything. Does it mean that all of these people all over the country who pay the banks to safeguard their cash have been duped ? The banks don't have their money ? Why do the banks make false statements to people every month then ? They send you a little report claiming that you have X amount but they really don't have the money ? Do they ? Shouldn't we, by all means, be able to run on the banks and get what is ours ?

I think we both understand the banking system. The difference is that one of us thinks free money for the bankers is OK and the other doesn't.

there is no free money

the money loaned out comes back in with interest
some of that interest is paid to the people that deposited the money and the rest is used for the bank, its not free

Wow. They use my money to loan at interest and keep a share for themselves ? That's what you are saying, right ?

why dont you go to a bank and ask them how the system works

i'm done playing your stupid game

 

[Peejay]

there is no free money

the money loaned out comes back in with interest
some of that interest is paid to the people that deposited the money and the rest is used for the bank, its not free

Wow. They use my money to loan at interest and keep a share for themselves ? That's what you are saying, right ?

why dont you go to a bank and ask them how the system works

i'm done playing your stupid game

Not my game pal. Hope you enjoy the crash.

 

[Gunny]

I'm not sure I'm seeing the debate here, nor why some people have to make this partisan. The bankers lent money they didn't have and underwrote people that couldn't pay. The people that couldn't pay are just as guilty because no one forced them to sign the mortgages.

This fish stinks at the head and foot, and those in the middle, as usual, get to pay the bills for both.

 

[Peejay]

I'm not sure I'm seeing the debate here, nor why some people have to make this partisan. The bankers lent money they didn't have and underwrote people that couldn't pay. The people that couldn't pay are just as guilty because no one forced them to sign the mortgages.

This fish stinks at the head and foot, and those in the middle, as usual, get to pay the bills for both.

It's not partisan for sure. There are bankers and brokers of all political stripes. What I am waiting for is the explanation of how exactly did they loan money that they didn't have ? Actually, that is a rhetorical question. I'm just fishing for the greedy folks in our midst that think raking interest from non existant money and riding the ship to the bottom is OK.