Nobody can even tell us how many hundreds of billions this is gonna cost us. Which is no surprise, given that this was the biggest Ponzi Scheme in recorded human history.
Yup, they were solvent, right Bernanke? Nope, nothing to worry about, right Bush?
Yeah, right.
Why are Paulson's bailouts always on Sundays by the way?
September 07, 2008
SPECIAL OPEN THREAD TO TALK ABOUT US TAXPAYER BAILOUT OF FANNIE AND FREDDIE
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The bailouts are on Sunday because the Palin-loving people are to busy preparing for the Hell in the next life to worry about the Hell in this one.
Please try to comprehend that we are on disaster (manufactured or otherwise) away from Nazi America.
This "both parties are the same" crap will murder us.
I have noticed a trend the last 8 years.
The best time to sneak out stories that could cast a negative light on Bushco are ALWAYS done late Friday thru Sunday when news readership is way down.
The ministry of propoganda is very careful when to slip in any potentially inflammatory news story.
At some point, all real news will be dispensed with completely.
YOU ARE SUCKERS
I told all of you HP'ers/fools a long time ago on this message board that if you pay your mortgage on time, honor your debts and play by the rules, you are a SUCKER!
I bought a townhome that I could not afford, saw it jump in value greatly and took out a heloc loan after another heloc loan and spent it on luxury vacations, a nice car, fancy furniture, etc...
As of today, I have not made my mortgage payments for 11 months and the company calls me, but they have not even filed a notice of default!
You know HP'ers where we are headed; a total all out national bailout of people like me! While I will laugh all the way back to the bank (literally speaking), you greedy HP'ers will get NOTHING (oh you will get to pay my bills, LOL, LOL, LOL).
Crisis of Confidence.......
I love how Fox and CNN cut away as soon as Paulson made the initial announcement (2 minutes) I had to flip to CSPAN to get the other 30 minutes of "red meat". Fox had some discussion about "Obama's Mysterious time at Columbia U." and CNN cut top coverage of Hurricane Ike.. like it matters right now.
It's all bread and circuses...
After watching the whole thing I am even more confused....
Did I hear Paulson correctly? At one point I think he said preferred share holders would "guaranteed Profits" but I swear he also said that if institutions that are preferred stock holders suffered losses on the stock that caused them not to be "adequately capitalized" they could go to the Treasury and get bailed out too?? On top of the 130 Billion the the Fed has been handing out last August?
"Privatize the profits, socialize the losses."
So, now that every U.S. tax payer supports the GSEs how long before we see a case in front of the supreme court that in fact every tax payer is entitled to a mortgage??
JOHN H: On the question of Fannie and Freddie, I think one thing we need to be awfully clear of, in anything we say, is that this story is not really about Fannie and Freddie: That they'repawns in a much larger game.
LYN: Yup!
JOHN H: And that much that's been said about them, in terms of their influence and their power in Congress and all of this,is all just a bullshit cover story.
LYN: Yup.
JOHN H: This has always been a banking crisis, this continues to be a banking crisis, they want to save these things so they can fill them full of toxic waste from the banking system as a way of bailing it out. And that's what's going on. There'snothing else going on of any significance.
LYN: Yup.
JOHN H: In terms of the way they're approaching this thing,from a policy standpoint.
LYN: Yeah, right. Absolutely correct.
JEFF: Lyn, the other thing is that this recent, past week's escalation of attack on Charlie Rangel, coming from the New York
Post, and New York Times, is very much related to this. Because
this whole--from what I just heard on the news this morning, this
announcement Friday night or Saturday morning, about taking over
Fannie and Freddie, is completely un-Constitutional and {illegal}. And about two months ago, we were told from people in the Ways and Means Committee, that Paulson and 20 deputies descends on them, to try to bully them into accepting this eventual banking bailout, and they said, "No deal." So in the context, this major attack has been sort of non-stop coming from Murdoch and the Times.
LYN: I think what we want to do, Jeff, is we want to really make a very serious threat, to these guys:
JEFF: Yep.
LYN: We want to run an immediate campaign. Make this the leading feature, because of the impact of this, and say, "These guys, if they do this, {are going to go jail!} Because this is an
un-Constitutional fraud. This is tantamount to treason!" And the
word from the me, is: "Tantamount to treason." And we're going
to hold these people accountable, for this "tantamount to
treason" action.
Oh I forgot....
Keith in Answer to your question....
"Why are Paulson's bailouts always on Sundays by the way?"
Because, the sun rises in the east...
Guess where the governments that are holding the financial gun to the the USA's head are located??
FNM/FRM Common Shareholder....
Rest in Peace.
Anyone think Wachovia or WAMU will make it through the day tomorrow?
Hank had his bluff called by the market, he pulled the bazooka out of his pocket and fired....
It was a Dud.....
The Treasury and Fed will be so busy and burdened bailing out the GSEs there will be no money to bail any one else out.....
The MSM keeps repeating the "GSE bailout could cost taxpayers 25 Billion." myth.
How about $150 billion.... $250 billion?? $5 trillion???
Who cares? We have important things to debate like should a Mom of 5 be VP even though she can field dress a moose, Discarded American flags (made in China), whether or not the surge worked (it's in the past), etc.....
Bread and Circuses....
Shouldn't the US taxpayer, now that we own Fannie and Freddie, set about suing the mortgage lenders and investment firms who sold Fannie and Freddie the garbage loans?
I think we should ask BofA (who owns Countrywide) for a few hundred billion. They originated loans they knew were fraudulent, and then sold them on to Fannie and Freddie.
And then I think we should go after the pay of Fannie and Freddie's CEO's and board members.
And we should also sue their auditor.
But of course, none of this will happen. The game is fixed.
Look at what has happened in 8 years after republicans had control and YET, the polls show the race is tied.
Am I proud to be an American? I am not so sure.
Socialism equals the evil of totalitarian communism...except when we all line up to trade our worthless paper for high yielding government backed securities.
Not only are they stealing as much as they can on the way out of Washington, they are getting you to keep paying them for years.
USA now officially named CSA - Communist States of America!
Next step: Socialise all the agricultural land...
Keith,
Talk to me like a 5 year old.
What does this mean?
The big banks knew the loans were crap years ago - they made their money and foisted the crap off on Fannie/Freddie. Paulson is just trying to keep the GSEs afloat long enough for the banks to unload their remaining crap. The whole housing bubble was/is nothing more than an orchestrated transfer of wealth from the taxpayers to the rich, on a scale never before thought possible.
9% of mortgage holders are currently behind on their payments or in some stage of forclosure. As the economy worsens, the number will rise, foreclosures will rise, and real estate prices will sink further. Once your average Joe realizes that he is better off walking away from his home and his friends have already done so, the trickle will turn into a flood. You can expect that 25% or more of those 6 trillion dollars owed to the GSEs will never be paid back. The bailout will cost the US taxpayer at least 1.5 trillion dollars, maybpe a lot more.
Honestly, what do you think is going to happen to the US economy or the US dollar?
what does this mean?
Criminals getting away with murder?
Paul Volcker resuscitated the American financial system from its last near-death experience. After that, instead of moving to a new diet of brown rice and fresh fruit, we went to deep fried twinkies. Now Dr. Paulson is in his first hour in the operating room, looking ahead to a 16 hour surgical procedure. Will it be merely a quadruple bypass or a transplant?
I know you need the rest, Keith, but you won't be able to retire from blogging. Too much is happening. You won't be able to stay away.
I want a list of every politician who accepted money from Fannie and Freddie and I WANT IT NOW.
I want people to go to jail.
I want the Government to JUST SAY NO to giving away my money.
Ford, Chrysler and GM are on their knees begging now, too.
This is not panic, this is INSANITY!!!!!!
Keith, this is getting so crazy now...you can't quit...I'll have no place for a sanity check.
Remember the trolls who said we were nuts for saying Fannie and Freddie would fail?
They seem to be gone now.
People treat the Bible and the Constitution the same. People change it to suite their own needs.
I am about 5 months from moving to another country, this is TOTAL BULLSH!T!!!!
Keith, we need to start a push to PROSECUTE MORTGAGE FRAUD!!!
In addition, who's to say that the US tax payer will be in a position to pay this debt - especially after their bank accounts have been fleeced and they've lost their jobs.
Anonymous said...
The big banks knew the loans were crap years ago - they made their money and foisted the crap off on Fannie/Freddie. Paulson is just trying to keep the GSEs afloat long enough for the banks to unload their remaining crap. The whole housing bubble was/is nothing more than an orchestrated transfer of wealth from the taxpayers to the rich, on a scale never before thought possible.
9% of mortgage holders are currently behind on their payments or in some stage of forclosure. As the economy worsens, the number will rise, foreclosures will rise, and real estate prices will sink further. Once your average Joe realizes that he is better off walking away from his home and his friends have already done so, the trickle will turn into a flood. You can expect that 25% or more of those 6 trillion dollars owed to the GSEs will never be paid back. The bailout will cost the US taxpayer at least 1.5 trillion dollars, maybpe a lot more.
Honestly, what do you think is going to happen to the US economy or the US dollar?
i would like to see the crony capitalists running this country go on tv and apologize to the honest, middle class taxpayers who are footing the bill for their mistake. I'd like to hear them say
we know you're trying to send your kid to college, but we're going to tax you to death to pay for the failure of our overleveraged government-sponsored housing hedge funds that blew up. after all, we have to keep paying china and everybody else who bought this toxic crap, or else they might stop lending us money to keep our economy afloat.
this country became great because we were productive. however, we are moving away from valuing hard work and economically productive activity and instead we are focusing on wealth shifting games. public goods aside, the government doesn't produce anything, it shifts wealth. the bigger the government, the more wealth shifting there is, and we have an enormous government. no society has ever wealth-shifted its way to prosperity. just ask the commies.
Hey way to go Nick, way to brag and gloat about helping to ruin your country....Are you of French origin by any chance?
Yes, the housing bubble ate my balls, you heard correctly, preferred shareholders will be bailed out, while common shareholders, will have their shares "diluted", but not be worthless(.0001)...LOL
I love the new bailout acronym, but I like this one better:
Bank United Trust Federal Union Corporation of East Delaware
Useless talk by these government blow-hards.
The end result is still a huge mess that the tax payers will be held accountable for ... problem is, this time around, there will be an ever shrinking pool of tax payers funds to bail-out all the greedy public service pigs who've been feeding heavily at the trough.
Get yourselves a large bag of popcorn, with extra butter - the show is no starting to warm up.
2009 is going to be worse. That's why you shouldn't shut the blog down this year.
WHY DO THE SHAREHOLDERS GET ANYTHING???
so basically Paulson is wiping out american (capitalist pig) shareholders to protect
the interests of our chinese commie overlords... very nice work...
or more exactly, he is wiping out american (capitalist pig ) shareholders who were
stupid enough to trust the american gov - the smart american (capitalist pigs)
like Pimco's Bill Gross paid Al Greasepan for advice and dumped the stock and
bought the bonds at steep discounts and are making out like bandits...
BRILLIANT. DO NEVER TRUST THE GOV.
This is just great. Look at what the govt does with my money. And now Obama wants to raise taxes and get rid of the tax breaks. Are you freaking serious. How in the world do you think I should have any confidence in the govt using my money. I am going to sell all of my stocks and buy houses so when all of this crap crashes at least I will own something that I can rent. If Congress was a person they would be bankrupt and put in jail.
Michael Moore said he doesn't believe the polls. I asked many friends and family who are registered if they have been polled? Not one.
Keith, what do you think about the polls.
The next story Is a True Story, I kid you not.
My mum had some friends over for the weekend from PA. I was speaking to my mum on the phone. She said a women name Bunny who is a sherrif in pennsylvania was over (Not making the name or job up folks) I asked my mum to ask Bunny if she would be voting for McCain and Palin(I thought this would be the true test, Sherif from Pa named Bunny)
Bunny's response "ARE YOU INSANE!!"
I felt much better after that phone call...Thanks Bunny for not falling for the Gimmick.
By the way where is Palin and the interviews.
How can people support someone they know nothing about?
The greed is a cancer and it's spreading like crazy.
America doesn't have much time left, unless a miracle cure comes along.
Is that cure Barack Obama?
Keith,
Does this mean America will be just like Mexico?
A few rich, no middle class and modern day slavery?
Can someone answer that?
Luckily My husband is from France and we can move to Europe..I am looking into Ireland.
This should put a stop to the irrational rise of the dollar against other currencies that was going on these last few weeks.
unless the other central banks bailout the US like never before...
Yea, I think we're still gonna prop up the dollar. this is big, and should be a deathblow to the dollar, but it wont be.
If you beleive anything that come out of any government officials mouth, then you are an idiot. How many times do they have to prove they are liars and idiots before you take notice? The situation is so obvious, I can't believe anyone takes these guys serious!! Use common sense and reach your own conclusions. Most of what comes from main stream media and the government is designed to keep the public in the dark and people seem to fall for the B.S. I only listen to the Media and government to try and catch them in the lies. USE COMMON SENSE AND WAKE UP PEOPLE!!!
I can tell you that things are far worse than most people believe. If you really want to understand how bad things are do some some research on the Federal Debt, Social Security, Medicare and how our government has been managing this country and our tax dollars. We are screwed and that is a fact. The U.S. Currency will be worthless in the future as our government will never be able to meet it's finanacial obligations. The government revenue is declining and expenses are out of control. The government has been printing money to try to maintain spending and they have been keeping demand for U.S. dollars high by keeping the oil trade in U.S. dollars (oil is purchased in dollars on the global market). This strategy has allowed the dollar to maintain reasonable value while increasing supply of the dollar. This is a house of cards that will eventually come crashing down. The U.S. dollar will eventually be worthless and I am amazed how ignorant people are to these facts and we don't hold our government accountable. WAKE UP PEOPLE!!!
Kieth,
The Bailouts are on Sunday's so that China gets the news first thing Monday morning. It's in their contract.
RayNLA
"In our market system, investors must not be allowed to believe that they can invest in a "heads they win, tails they don't lose" situation."
- Barack Obama, 9/7/08
http://my.barackobama.com/page/community/post/stateupdates/gG5WlF
Please don't close down this blog - your work has just started! Please! Please! Please!
what does this mean?
___________________________
www.fedupusa.org
PS> I am joining ACORN and educating them as to the real story. They will be very interested. I am doing something and becoming an activist, instead of just reading and posting.
FMW
Our founding father's would have a militia formed by now.
Always on Sunday to avoid a complete bottoming out of the stock market.
Get ready for a new wave of bailouts for the rest of the "too big to fail" entities, money center banks, auto companies, airlines, Kolyfonia, etc. All will be funded by legislation from your duly-elected DEMOCRAT Congress and signed off by our lame-duck administration.
Way to go Democrats -- that big sea change you demanded in '06 sure paid off, didn't it?
Funny how corrupt blogs and mainstream media never disclose that failures, Fannie Mae and Freddie Mac, were creations from the Democratic party. Another welfare Cuban program aiming to force honest and productive taxpayers to subsidize housing for irresponsible breeders and high school dropouts. And when their socialist welfare programs go belly up, the Democrats hide and rely on everybody else in the country to rescue the failures.
It's the same socialist Democratic program that forces single persons in the US to subsidize public education to children of irresponsible parents who breed like flies. Hey, but you Hussein cultists from California, OR, WA, who are single, think these socialist programs are great. So eat your granola bars, pay up, and STFU, suckers.
Pay attention how the corrupt media and socialist blogs in the US never mention a thing about F&F being Democratic party creations or that the cost of all these bailouts will surpass the cost of any war in Iraq or Afghanistan.
No wonder the welfare parasites, or as we honest and productive taxpayers call them, "The Obama Base", show up in food banks driving Escalades with $2k rims, full of zillion babies with running noses. Meanwhile, Democratic boy and union hero John Edwards has rendezvous with his mistress at Beverly Hilton. Welcome to the new socialist America. No wonder the ultraliberals bankrupted California and NY, too.
The Democrats are behind many of the worst ideas that we're now trying to get out from under
Social Security (ponzi scheme)
Fannie and Freddie (ponzi scheme)
Medicaid/Medicare (ponzi scheme)
Unions (business destroyers)
I could go on
Democrats are not the solution to the problems that they created. And Republicans should be. But the current Republican party is corrupt, incompetent and distracted by BS social issues like gay marriage and abortion. The Bush/McCain Republican party has also destroyed America's image abroad, while racking up hundreds of billions on stupid wars.
Both parties suck. And I continue to be amazed an disgusted that there are so many HP'ers who identify with either party.
Wake the f*ck up.
Really.
Wake the f*ck up.
You're right, Keith, it's time for you to close down this blog...
and start the US Government and Financial System Collapse blog!
The story is way bigger than housing now.
I asked my mom, who at the age of 76 should be wiser than I in all things, if she knew about Freddie Mac and Fannie Mae. She said "umm, isn't that the company that makes student loans?" I gave her the facts - gently, of course - and she looked surprised. She hadn't even heard or read about the situation. But she is vehemently supporting John McCain, watched the GOP convention avidly, and when I try to discuss Obama, she yells "I'm not going to discuss that mess!!!" and then turns away laughing "Sarah Barracuda! She's got my vote! Haaa haaaa!" I'm scared. Really scared.
I believe the Sunday bailout news tradition has something to do with the International Date Line and the opening of the Asian markets.
I wish that I would have shorted these two. But it has been a couple of years since the scandals that would have wiped out a less connected company. Time wounds all heels.
you open a thread for fannie and freddie and you get a liberal douche-bag (afterthought) trashing palin's religious beliefs. cant these people stay on topic? i guess not.
freddie and fannie are good examples of a congress and an administration that looks the other way when it comes to lining their own pockets. surely you dont believe that the congress is blameless in all this. did you hear barney man-lover franks praising paulson and bernanke just a couple months ago when they were talking about how great fannie and freddie were doing and how this was just a rough patch and things would be great? chris 'do nothing' dodd also known as, 'give me a special deal countrywide loan' shyster, was right in there with old barney cheerleading these criminals like they were the greatest thing since sliced bread. now you say that congress is not part of the problem? both democrats and repubs are the same.
Jon Stewart Obliterates the GOP Convention
It's so easy making fun of these fake conservative morons.
Never trust a man with a giant American flag behind him. He's obviously lying about something.
British friends of mine in their 60s asked me recently when are Americans going to revolt? I said never. We are too fat, lazy and entertained to do it. And indoctrinated that we shouldn't do that because then we wouldn't be "free individuals".
But, why should some liars walk away with millions and we responsible people have to cover them? Not right. How much will we put up with? Quite a bit it seems.
I don't know about slamming unions as business destroyers, Keith. A giant company is well served by collective bargaing. There are efficiencies in doing this. The same is true for nationalized health care -- this is an evil that is really good for business.
Sorry, that's my take on unions. When they were created, they came about for good reason - to champion the rights of workers who were being exploited.
Then, as happens so often, a good idea got taken to a bad place, and they actually worked against the interests of the very employees they were supposed to serve.
Unions destroyed GM, Ford, Chrysler, the airlines, the steel mills, the auto parts companies, and even major league baseball.
Unions became evil, and corrupt.
And now America, who has lost its manufacturing base, is paying the price.
Sorry for threadjacking my own thread on Fannie and Freddie, but this union issue is similar to the F&F issue.
F&F were created many, many years ago with good intentions - to provide affordable mortgages to Americans in order to buy homes. And then as we saw, our Congress and F&F executives f*cked it all up. The last straw being the bailout package that allowed F&F to buy up jumbo loans on mansions.
Just another example of how U.S.A., Inc. has become a country that privatizes gains and socializes losses for the rich
and well connected.
Time to buy more gold.
Ever noticed how the Bush/McCain/Palin GOP Party seem to bring with them such new, cool buzz-words to Americans???!!! Such as,
"Great turmoil, terror, mass-destruction, bank failures, loss, box-cutters, hi-jackers, etc, etc."
*********************
IN THE NEWS TODAY!
The more than $5 trillion of debt and mortgage-backed securities issued by the FAN/FRED is owned by central banks and other investors world-wide. "A failure of either of them would cause great turmoil in our financial markets here at home and around the globe," Mr. Paulson said.
$5 TRILLON "POOF" GONE!!!!!
Sept. 7 (Bloomberg) -- Treasury Secretary Henry Paulson decided to take control of Fannie Mae and Freddie Mac after a review found the beleaguered mortgage-finance companies used accounting methods that inflated their capital, according to people with knowledge of the decision.
Paulson will hold a press conference at 11 a.m. today in Washington, according to a statement. Morgan Stanley, hired by the Treasury to probe the companies' finances, concluded the accounting, while legal, enabled Freddie, and to a lesser extent Fannie, to overstate the value of their reserves, according to the people who declined to be identified because the findings are confidential.
Oh, man. This is the WHOOPEE of all Americano's whoopee. It goes to show you how low and despicable this one-mighty-rich-prosperous nation is, its path unstoppably is heading down the gutter.
-----
OK... Joe6Pack & JaneZinfandel, let's get this simple, no brainer fact into that fried-burger brain one more time.
Owning a house is not for every one in the planet Earth, particularly in the land of the Americano AKA the land of the Snapper Turtle. If a lone person, a married couple or a family of chumps are poor, ignorant, uneducated, illiterate, buck-teeth, hare lip, obese, fat, diabetic, plain ugly or just looking like a piece of human crap, then that entity or organism is not entitled to own a house, or allowing to think of owning a house, or even dreaming of owning a house. Got it ? A very simple truthful fact to internalize based on Charles Darwin's famous theory: "You don't own jack if you ain't got jack to show you've got the jack to jack with..."
Furthermore, if that particular Americano had voted for "Little Boy + Fat Man" AKA "Dubya Shrub + Penis Shooter" in the last 8 years, then homeboy and homegirl HillBilly and Homer Simpson all alike out there should not consider a house as a place to live in. His and/or her adobe is to be in the horse ban, the chicken shack, the ass stall, or more fittingly, the Snapper Turtle lodge.
So, Hicks and CrackerNutheads out there, the 64 millions Americano-devalued dollars question is:
"Is the Americano roasted yet, and if not, how long before the Americano will be roasted slowly, nicely and juicely like a snapper turtle skewered on a green Chinese bamboo stick from mouth to ass sizzling, fat popping, succulent marinated chunk of turtle meat oozing with aromatic tallow on a bed of white hot charcoal ?"
Are we there yet ? Is Joe6Pack still alive, breathing and kicking ???
There is a good first look at the F&F bailout on Mish's Global Economic Trend Analysis blog. The bottom line is that the taxpayer is screwed, of course.
The dollar has been dropping against the Euro in the last few hours. No surprise there either.
I feel sick about the state of America right now. Mostly I feel sad that the people that perpetrated the crimes on America don't even really understand what they've done. I can only hope that God has a sense of justice and humor and makes them all come back as starving Ethiopians or female muslims in Iran or maybe just pretty little white boys in prison.
I dont recall ever seeing this type of socialism before where the economy is socialised via the banks and big business, but the common man is still under market forces.
Could you even call it socialism?
How much does anyone want to bet the markets will go up tomorrow? Traders will say that this is the worst it can get, and finally the Treasury is stepping in. They also might say the US govt will start helping other companies out more. Dow to 14,000!
"You know HP'ers where we are headed; a total all out national bailout of people like me!"
That is pretty funny and probably true.
"Shouldn't the US taxpayer, now that we own Fannie and Freddie, set about suing the mortgage lenders and investment firms who sold Fannie and Freddie the garbage loans?"
No one cares. I know only one guy who even has an idea of what's going on and he thinks the worst is over and wants to buy an apartment. My dad who's a financial adviser couldn't care less. Everyone has a job and a house and a BBQ on Sunday .
It is treason. Simple.
http://larouchepac.com/news/2008/09/06/tantamount-treason-government-escalates-bank-bailout-taking-.html
The government has already spent trillions of dollars in the attempt to save the banks, in schemes ranging from the economic stimulus program to the ongoing and accelerating loan programs to the banks from the Fed. None of this has worked, but rather than realize the folly of their ways, the idiots in Washington and Wall Street are cranking the spigots wide open. Some estimate that the bailout will cost $20-$30 billion, but these estimates are meaningless, since the government is effectively committing itself to an unlimited bailout. Essentially, the government is bailing out the debt by doubling it, creating a even bigger pile of debt that will have to be bailed out, doubling again in a geometric progression. Since there isn't enough money in the world to make this scheme work, it cannot succeed, and the attempt to do it will trigger a hyperinflationary explosion reminiscent of Weimar Germany, such that the very value of the dollar itself will vaporize.
Not only is this scheme insane, LaRouche stressed, but it is “tantamount to treason” in that it puts an attempt to save the parasitic financial system ahead of the welfare of the nation and its people. What is required, instead, is the immediate passage of LaRouche's economic national-defense package, beginning with a hike in the U.S. discount interest rate to 4 percent to halt the outflow of capital from the country, followed by the enactment of the Homeowners and Bank Protection Act, to protect the population while we put the financial system through bankruptcy, and begin the process of rebuilding what these parasites have destroyed. This process will be financed through a two-tiered credit system, in which government credit is issued at low interest rates of 1-2 percent to fund specific classes of development projects, and other borrowing occurs at the higher-tier rate. Having taken these steps, we could then work with other nations, notably Russia, China, India, Brazil and others, to implement such a system worldwide, defeating the Anglo-Dutch Liberal system parasites, and leading the world into a new era of freedom and prosperity.
We cannot bail out the dead system, and we should not try. What we must do instead, is build our way out of this mess by returning to the principles of the American System. To do otherwise is not only insane, it is fatal.
You forgot, WTC's "Pancake collapse."
I want my Tax CREDIT for having paid off my mortage through honest labor and wages over many years and not stolen my equity from a GSE or the tax payers.
You mean there is no such Tax Credit...and the mortage fruads who defualted got the functional equivalent of a tax credit through IRS forgiveness of the imputed income from the mortgage write down that washed their debt away with the stroke of a computer key!?!
There will be MAJOR multi-generational payback for this upside down policy. Why work when working and honesty are the sucker bet.
Ok, This is to anyone who can answer this...
First I am very much voting for Barack. I do not like McCain. However, I was watching Meet the Press with Joe Biden and was shocked to hear his son after graduating from Yale took a job with a Credit Card Company. His salary 100,000 as a Lawyer. This credit card donated over 200,000 to the ticket. Now the good part the Credit Card Company was all for the bankruptcy law which would not allow people with medical bills to declare bankruptcy if they made over 40,000 a year. Biden voted in favor of the law. I am a recovering Breast Cancer patient who is way over my head with bills. I have insurance and it is a scam. Obama opposed the bankruptcy law. I am not happy with Biden. This made Palin more appealing to me.
I realized at that moment I don't know anything about Biden. I now know more about Palin.
We need change and I really don't care what side it is on.
P.s The bankruptcy law protects Corporations, how clever.
When this law passed I was furious. Does the average person know when you get ill and can't pay your bills they can seize your home and car? That is serious folks. Try going through Chemo and fighting with Insurance scums.
If Palin were running for President I would consider voting for her..Its McCaine that worries me.
Does anyone think Obama made a mistake not putting Hillary on the ticket.
Does anyone know how we can find out who voted in this Bankruptcy law?
God, Keith. Surely you realize that Germany, Korea and Japan are heavily unionized. The car makers in those countries are not ruined.
Basically, people forget a very simple principal. Those who have money and power are more responible than people who are poor and powerless and working for a living. Don't listen to this bullshit.
I don't think our overseas overlords are going to like this one bit. Nobody likes to get cleaned out completely. Have a nice Monday. Maybe Ike will look better than this Katrina on the Potomac.
Check out what was said at 4min 44sec into the clip:
" key events over the past SICK months . . . "
Ha Ha Ha !
We've been had!
"Why are Paulson's bailouts always on Sundays by the way?"
Here is your answer....
"Asian Stocks, U.S. Futures Rally on Fannie, Freddie Takeover"
http://tinyurl.com/6zjuz6
Right on cue....
I see why you are ending the blog...
Just in time. Seems like the housing market will be recovering in the next year.
Real Estate Agents and Mortgage Brokers are cheering!
Wall Street is cheering!
Tomorrow morning the Banks will be soaring and I would guess everything will be up. I am sure it will be a record. Dow Futures are already up big time at 9pm eastern time on Sunday.
DOW FUTURES: Up +250!
Asian Markets are flying high...
Looks like this will turn the tide...
Sorry, Keith, I did enjoy your Blog.
I am sad to see it go...
"The Democrats are behind many of the worst ideas that we're now trying to get out from under"
Dumb Keith.
The democrats believed in and protected the "schemes". Remember Gore's lock box he was made fun over?
These schemes survived a hell of a lot until you got these criminals in the white house and broke it out for their cronies like mafioso.
Remember privatizing SS ? They would have broke it out too and made tax payers recapitalize it. Probably to just break it out again. shesh keith, I guess you really don't see the man behind the curtain at all.
The tax payer is losing his home to foreclosure.
The tax payer is losing his job.
The tax payer cant get any credit to buy crap made in China.
How is he going to pay for the bail out?
Oh well, he wont be!!
All Paulson has done is move the problem from Agency debt to US Treasuries.
Who bails out the Fed Govt?
Foreigners will be left holding the bag, just the day of reckoning has been postponed by a few years.
I agree. Dump both parties and dump the Feds as well. Since the states originally formed the federal government as an agent of the states I believe it is now time for the states to dissolve the federal government and abandon socialism altogether. It has become obvious that the Feds have stopped working for the citizens’ interest and work only for self preservation of the political elite. Socialism has failed everywhere in the world it has been tried and it will fail in the U.S. as well. States should begin to secede from the Union and form their own confederation for self defense purposes only. Any subsidies and redistribution of the wealth should be banned in the new Confederate constitution. The original 13 colonies seceded from the Crown under the same pretenses- excessive taxation without representation. Let the federal government default on its own debts. BTW, the only currency allowed under the new confederation should be gold!
"F&F were created many, many years ago with good intentions - to provide affordable mortgages to Americans in order to buy homes. And then as we saw, our Congress and F&F executives f*cked it all up. The last straw being the bailout package that allowed F&F to buy up jumbo loans on mansions."
The road to hell is paved with good intentions.
When is Atlas going to shrug? The productive class is tired of bailing out the crony capitalists who party like drunken frat boys with other people's money!
"keith said...
Remember the trolls who said we were nuts for saying Fannie and Freddie would fail?
They seem to be gone now."
They should come back because
First they make fun of you;
Then they fight you...
Then they say they knew it all along.
socialism for the uber-wealthy
fascism for the corporations
hard core crony capitalism for (against) the former middle class.
You play, you pay, you don't play, you pay double.
I hope comrade paulson and the rest of bushco die hideously painful deaths.
Never trust a man with a giant American flag behind him. He's obviously lying about something.
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So true, so true.
We need a saying about fake green greek columns.....
"Unions destroyed GM, Ford, Chrysler, the airlines, the steel mills, the auto parts companies, and even major league baseball.
Unions became evil, and corrupt"
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Couldn't agree more Keith, that’s why the unions have all gone into the public "service" field, state workers, county workers, teachers, etc. No competition, no product, and the employer (you and me) has pockets with no bottoms.
My last union job was in the late 70's. Totally useless, they took your union dues, were in bed with management, and did nothing for the rank and file. The union's demands eventually put the company under.
You are right that unions had their purpose, at one time, but that was long, long ago in a galaxy far, far away!
This should put a stop to the irrational rise of the dollar against other currencies that was going on these last few weeks.
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dude, it isn't that the dollar is strengthening it is that the other currencies are weakening to join the dollar. which give the effect of the dollar strengthening. Europe and the UK are in the same straights as the US, they are just a little behind the curve is all.
This time next year the euro and dollar will be equal.
It now seems like Enron was only a pimple on the ass of a monstrosity called the U.S. financial system.
Free market captitalism??
BULLSH*T!!
We're nothing but a friggin kleptocracy!
Bazooka-breath Paulson is the master of financial disaster.
Doin a HECKUVA job!
Hey socialists, congratulations. Now the federal government is the source of all mortgage lending in America.
Why not just let Pannie and Freddie fail?
Oh, that's right. They're "too big to fail." Free markets are bad. Let's just nationalize EVERYTHING!
Look at what has happened in 8 years after republicans had control and YET, the polls show the race is tied.
Actually, more evidence of American stupidity is the notion that Democrats and Republicans aren't different sides of the same coin.
At this point does anyone believe it makes a difference who wins the white house in november?
YOU ARE SUCKERS
I told all of you HP'ers/fools a long time ago on this message board that if you pay your mortgage on time, honor your debts and play by the rules, you are a SUCKER!
I bought a townhome that I could not afford, saw it jump in value greatly and took out a heloc loan after another heloc loan and spent it on luxury vacations, a nice car, fancy furniture, etc...
As of today, I have not made my mortgage payments for 11 months and the company calls me, but they have not even filed a notice of default!
You know HP'ers where we are headed; a total all out national bailout of people like me! While I will laugh all the way back to the bank (literally speaking), you greedy HP'ers will get NOTHING (oh you will get to pay my bills, LOL, LOL, LOL).
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Sick, Phsyco!
You all should of known this corrupt bail-out of F&F was in the cards months ago . What were the clues of this bail out that is against the constitution .
(1) Congress/Senate raised the
loan limits for F&F,in a declining market .
(2) The Fed Chairman lowered Fed rates to aid the failing banks and investment firms costs so they could borrower cheap money backed by junk loans. Why would the Feds loan money on junk paper ?
(3) Months ago Senator Dodds started peddling poor homeowner bail-out spin ,when in reality these were borrowers that committed loan fraud ,along with the real estate agents and mortgage creeps with money provided by Wall Street and F&F.
(4) Bear Sterns was bailed out and
its not really a Bank .
(5) In spite of Dodds and others
committing clear violations by excepting loan bribes ,they are not excused from their conflict of interest position on housing bill and investigated .
(6) The government keeps trying to keep prices up on a inflated product that is not affordable to the average wage earner ,when they claim that affordable housing and the American Dream is their goal.
(7) Congress and the Corrupt Senate came up with a housing bill that makes no sense what-so-ever,unless you see it from the standpoint of a bail out for banks (8) The normal remedy for a fraud or a fraudulent loan contract would be the legal system ,which is being avoided . These bail-outs are the biggest obstruction of justice and avoidance of bringing to Justice or liability the true culprits in the housing fraud lending and faulty risk rating scheme by the corrupt Wall Street .
(9) In that the corrupt Congress and Senate enacted laws in the last 7 years that aided and abetted the housing fraud scheme ,because they were bought out by Wall Street and the lenders and the REIC ,the same clowns are trying to solve the housing drama in a corrupt and unlawful way to take the heat off themselves .
(10) It was always been a issue of where they were going to put the bad loan paper and where it was going to be passed to to make a new bag-holder pay (which is the taxpayers ).
Guys like Paulson making backroom deals on the weekend that involved this much taxpayers funds is absurd and a joke regarding a party having powers beyond the office . These acts will be the beginning of the demise of America as we have know it . Kick all those corrupt bastards out now . Impeachment immediately . Media ...object!
The guy who begins YOU ARE Suckers, he must be a politician. He is 100% correct about everything. I am a sucker taxpayer idiot. I pay interest, pay my association and all that bullshit. I owe more on my house than it is worth, but I still pay property tax. The bank has the note, why should I pay tax on something they are making a profit on (from interest)? That is a sack of shit. I don't even own this fucking dump. I am pissed off. There are many of us.
You are right, I am wrong.
Remember the trolls who said we were nuts for saying Fannie and Freddie would fail?
=========
I was saying that they would be too big to fail. But what I meant was just this. The govt would take them over. You can quibble over the meaning of the word "fail". Point is they were rescued and will still be operating as before, just under new management.
And also what I preicted came true. The govt will prop up housing prices. First it was $300B bailout bill in July. Now it's another $250B+ for Fannie and Freddie.
I've had it with this shit myself and will be out buying a house. If the govt wants to subsidize my mortgage, I'm in.
well, its shaping up to be a bit of a rally today. Euro and Asian markets are up by absurd margins, about 3-5%, with the US likely to follow suit. Guess Black Monday will have to wait another week?? hahahah.
Saw this on Dealbreaker.com re Fannie/Freddie and boy is it true:
Although this is being played as the Treasury "seizing" Fannie and Freddie, it may well end up as Fannie and Freddie seizing the Treasury.
The tax breaks are for the Rich....
Are you in the 1% I don't think so because you wouldn't be on this blog. You would be in you 4th or 5th house or sailing in your 6 million dollar yaht...
So give me a break with Obama and Tax cuts...The rich should pay and pay big.
Obama is not taxing middle class.
Period get your facts straight.
I am not happy about Joe Biden.
>> Wake the f*ck up. Really. Wake the f*ck up.
Keith, and everyone else, as long as you're an employee and have your taxes withheld from your paycheck, or you're self-employed and file quarterly, nothing is going to change.
And to the person who said it's finally time for a revolt, good luck with that. Go ahead - revolt - you'll be arrested for terrorism, thanks to the Patriot Act.
Instead of taking action years ago, you instead sat on your ass watching American Idol, football & baseball. Good God - how many months, if not years, have you spent watching pro sports on TV? What for? WHY??? What have you got to show for it???
America, as we once knew it, is finished, thanks in part to the stupid American male, who was cheering on his favorite sports team instead of marching on Washington.
Keith, the credit crisis is just getting started - what will it look like by the end of this year??
Please reconsider not closing down HP.
I dont recall ever seeing this type of socialism before where the economy is socialised via the banks and big business, but the common man is still under market forces.
Could you even call it socialism?
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I agree, thats why this is going into the record books as the worst crisis in US history.
wiping out the middle class, and putting everyone except the rich into work/debt slavery.
Slaveism.
"We call this MBS..."
Rich, eh? An acronym that finally means something... More bullsh#t!
When is Atlas going to shrug?
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good question. what we need to do is find a "target country". one that has a good supply of resources, water, and good farm land that is failing because of poor leadership. Then we, the productive class, need to move to the target country and work to make it what America once was but even better. Then rename the country "New America".
As of today, I have not made my mortgage payments for 11 months and the company calls me, but they have not even filed a notice of default!
LIAR! DREAMER! NOD IS AUTOMATIC AFTER 3 MISSED PAYMENTS! I BET YOU WISHED YOU WOULD HAVE BOUGHT A HOUSE LIKE US REAL HP'RS PREBUBBLE LIKE 99-01 TO LIVE IN AND SOLD AT THE TOP IN 05 AND ARE SITTING COMFY ON THE GAINS
YOU HAVE NOTHING DEAL WITH IT
I understand the CEO's that ran FAN/FRE into the ground are getting 14 million each for retirement when they step down. I do not mind paying that, they should be comfy in thier old age. Never mind the rest of us. We can eat cake and die.
On top of everything stated below - which is true - think what will happen when the Arab nations decide to "unpeg" from the US dollar?
The drop in the value of the dollar will make the continual slide in housing prices look tame.
Anonymous said:
If you beleive anything that come out of any government officials mouth, then you are an idiot. How many times do they have to prove they are liars and idiots before you take notice? The situation is so obvious, I can't believe anyone takes these guys serious!! Use common sense and reach your own conclusions. Most of what comes from main stream media and the government is designed to keep the public in the dark and people seem to fall for the B.S. I only listen to the Media and government to try and catch them in the lies. USE COMMON SENSE AND WAKE UP PEOPLE!!!
I can tell you that things are far worse than most people believe. If you really want to understand how bad things are do some some research on the Federal Debt, Social Security, Medicare and how our government has been managing this country and our tax dollars. We are screwed and that is a fact. The U.S. Currency will be worthless in the future as our government will never be able to meet it's finanacial obligations. The government revenue is declining and expenses are out of control. The government has been printing money to try to maintain spending and they have been keeping demand for U.S. dollars high by keeping the oil trade in U.S. dollars (oil is purchased in dollars on the global market). This strategy has allowed the dollar to maintain reasonable value while increasing supply of the dollar. This is a house of cards that will eventually come crashing down. The U.S. dollar will eventually be worthless and I am amazed how ignorant people are to these facts and we don't hold our government accountable. WAKE UP PEOPLE!!!
Every taxpayer in America now owes their firstborn to the Chinese.
The next Tsunami of defaults will be when(right about now)when it becomes normal and socially acceptable to let the bank have your house...We weren't there a year ago, but now we are.
2 friends in the last 2 weeks mentioned over drinks that they were down 60 days on the mortgage.
These are not losers, just hard working friends.The losers gave up the house 6-12 months ago.
This wave will be far bigger.
Look out below!!!!
It would be morally justifiable to slit Paulson's throat and poop in the resulting hole
It is amusing to watch the US and the UK, these two countries that have been lecturing the rest of the world on the virtues of the free market capitalism shit their pants and bail out or nationalize one bank after the other. Perhaps a bit more modesty would be in order.
keith said...
Democrats are not the solution to the problems that they created. And Republicans should be. But the current Republican party is corrupt, incompetent and distracted by BS social issues like gay marriage and abortion. The Bush/McCain Republican party has also destroyed America's image abroad, while racking up hundreds of billions on stupid wars.
Both parties suck. And I continue to be amazed an disgusted that there are so many HP'ers who identify with either party.
Wake the f*ck up.
Come on keith, you post something like this and then rally around the same. Take some of your own medicine, “wake the f*ck up”, and get back on track.
You do not have to vote Democrat. You do not have to vote Republican. VOTE! But don’t throw you vote away by following the sheeple, choosing the “lesser of two evils” and not voting your conscience.
God bless the United Socialist States of America.
At least Chavez nationalizes profitable business.
And when stocks go up after a nationalization...
More corporate welfare,when both parties have been so much against any kind of real assistance to the poor and middle classes. I think it's disgusting. If this is the will of the people, then we will indeed get the society we deserve.
The sheeple will be distracted by one non-issue at a time,as they have been. I don't think this country has the collective will to wake the fuck up. I'm worried. I thought the whole S&L bailout in the late 1980s was a horrible misuse of taxpayer monies, but this is even more costly. A few people will do very well for themselves, but at great expense to hundreds of millions of others. Some pious nation, this.
not sure if y'all saw this but Senator Bunning, who infamously roasted paulson and bernanke when they initially asked for the blank check to write for the GSE's obviously got his chance to say "I told you so"
http://www.bloomberg.com/apps/news?pid=20601087&sid=alpUsTv3.upI&refer=home
This weekend's action where the Federal Government essentially nationalized two failing enterprises, Fanny Mae and Freddie Mac, proves the point yet again that practical political considerations will always trump ideology. Bush or Paulson could bullshit all they liked about the glories of the unfettered market, but when faced with a crisis, they caved. No one in Washington was going to face the prospect of a collapse of two companies that hold about half of all the mortgage debt in this country.
"I would advise letting the system fail and dealing with the consequences. This is a chance to purge the system of debt which can never be paid, and thus remove the yoke of debt from the necks of the American people."
Darrell Castle, 3rd party canidate for Vice President
My sentiments exactly.
"But the current Republican party is corrupt, incompetent and distracted by BS social issues like gay marriage and abortion."
And yet 2/5 of the reason you support Obama is because of his stand on these 'BS social issues', in spite of the fact that he is 100% wrong about housing!
If the nation is divided about social issues, I think the fault lies with those who foisted the sexual revolution on this originally moral country. Social liberals used the courts, not the legislature, to make their point of view the law of the land against the wishes of middle America. Is it really a surprise that the descendants of Puritans and the heirs of democracy would object both to the left-wing social agenda, and the manner in which it was implemented?
For years Democrats have complained that working class Republicans voters should ignore social issues and vote according to their economic self-interest. Well, this year, anyone who hasn't bought a house yet, but plans to someday, should vote against the Democrats.
And if you love abortion, gay marriage and pornography so much that you vote against your own economic self interests, you have no right to judge the Republicans who have, in the past, voted against their economic self interest.
STOP bailouts LEH next ..
- social loses workers
- private gains CEO
Machinists !!
my heroes
um this weekend Lehman Brothers
next weekend
Dr. Rashdi Knari
certified financial planner
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