Fed promises to pay back the money it borrowed from the US taxpayer with money borrowed from US taxpayer
From the man who told us Fannie Mae and Freddie Mac were sound and secure back in July, Treasury Sec'y Paulson, to the same man saying that our bank accounts are sound and secure today, with Wall Street banks dropping faster than Madonna's underpants.
It took less than two months after Paulson made the statement about Fannie and Freddie before the feds rushed in, providing CPR in the form of several hundred billion dollars of OUR money.
What's so sweet about this con for the inside men, like Wall Street and the Federal Reserve, is that they will PAY BACK THE MONEY THEY BORROWED FROM THE US TAXPAYER WITH THE MONEY THEY BORROWED FROM THE US TAXPAYER.
That clears it up, doesn't it?
By the time the feds get done propping up Wall Street financial sharpies and banksters, there won't be anything left to prop up the FDIC.
Which means the FDIC won't be able to guarantee your bank deposits.
Say Goodbye to all of that Monopoly money you scraped and worked for to save for a rainy day.
Bet you didn't know that the rainy day was going to be a Wall Street monsoon, did you?
When Americans are standing in line at their local failed bank, hoping to get back a few pennies on the dollars they invested, the hucksters behind this massive fleecing of the American public will be already gone, having taken their private jets to that off shore banking facility where they stashed the loot.
From there, it will be a luxurious lifestyle, while the rest of us suckers will be wondering whether to spend what money we have on the mortgage or food.
The SS Titantic has just hit an iceberg and Pauslon makes it sound like it's a failed high school romance.
Does anyone hear the sound of water rushing into the hold?
Fannie, Freddie say they have plenty of capital
Fri Jul 11, 2008
By Mark Felsenthal and Alister Bull
WASHINGTON (Reuters) - Fannie Mae and Freddie Mac said on Friday that their finances were sufficiently sound to withstand the housing crisis as government officials scrambled to restore confidence in the country's two largest mortgage finance companies.
U.S. Treasury Secretary Henry Paulson indicated that a bailout of Fannie and Freddie was unlikely despite financial market concerns that the agencies, which finance nearly half of U.S. homes, may have trouble raising enough money to keep buying mortgages.
And now teh carnival barker is telling us to "Hurry, hurry, hurry, step right this way."
Top Economist: Americans Should Worry About Bank Deposits if Congress Doesn't Act
Posted Sep 15, 2008 12:58pm EDT by Aaron Task in Investing, Recession, Banking
With the "financial storm of the century" hitting financial institutions, many Americans are worried about the safety of their bank deposits. While the FDIC insures individual accounts up to $100,000, the reaction to IndyMac's failure this summer -- lines outside retail branches -- shows Americans have limited faith in the Federal Deposit Insurance Corp., which guarantees individual accounts up to $100,000.
Update: "The banking system is safe and sound," Treasury Secretary Hank Paulson declared at a mid-afternoon press conference Monday, seeking to ameliorate such concerns.
"Nothing is more important than the stability and orderliness of our financial markets [and] regulators remain vigilant," Paulson continued. "We're working through a difficult period in our financial markets right now as we work of some of the past excesses, but the American people can remain confident in the soundness and resilience of our financial system."
But Americans are justified to be worried, says Nouriel Roubini, of NYU's Stern School and RGE Monitor, who notes there is already a "slow-motion run on retail banks" occurring nationwide.
That "run" could accelerate as people realize the FDIC fund has about $50 billion to "insure" about $1 trillion in assets at the nation's financial institutions, says Roubini. "They're going to run out of money" unless Congress acts soon to recapitalize the FDIC.
In addition, the recent spike in number of banks on the FDIC's "troubled list" is only through June, meaning even that inflated number understates the problem.
The intent here isn't to add to people's anxieties, but Roubini is one of the few market watchers to correctly predict the severity of this ongoing credit crisis. If nothing else, he says people with accounts exceeding $100,000 in value should spread their money - and the risk - among different firms.
The world's largest insurance company is a penny stock today. Complete financial system collapse imminent. Government financial collapse to follow quickly.
And nobody is going to jail.
Yeah, sic AG "Mikey" Mukasey on these scoundrels, like Schwartz of Bear Stearns and Greenberg of AIG, he'll tear 'em a new arse hole, think?
Schwartz and Greenberg, those are Arabs, aren't they?
Just like that other towel head, Alan Greenspan.
Don't wake up, America, keep sleeping and crouching in fear at these gangsters until like the pro's they are, they burn down the house to cover up the scene of their crimes.
And guess whose house that is?
Keep listening to all of those Jewish banking experts on CNN and FOX who keep telling you everything is OK, don't get worried, not yet, 'cause we're not finished with the looting and plundering.
Since no fiat currency has ever lasted more than 100 years, Greenscum was telling the chosen that this is it for the dollar and the U.S. financial systen as we know it.
provoked dire warnings from a handful of dissenters that the deregulation of Wall Street would someday wreak havoc on the nation's financial system. The original idea behind Glass-Steagall was that separation between bankers and brokers would reduce the potential conflicts of interest that were thought to have contributed to the speculative stock frenzy before the Depression.
...''I think we will look back in 10 years' time and say we should not have done this but we did because we forgot the lessons of the past, and that that which is true in the 1930's is true in 2010,'' said Senator Byron L. Dorgan, Democrat of North Dakota. ''I wasn't around during the 1930's or the debate over Glass-Steagall. But I was here in the early 1980's when it was decided to allow the expansion of savings and loans. We have now decided in the name of modernization to forget the lessons of the past, of safety and of soundness.''...
Well worth the read if you want to understand why this financial system is going to have a "GREATER DEPRESSION".
Lehman hires Jeb Bush as private equity advisor
How did u run into that one??!
That deserves a post all on its own. Allow me...
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"Money" has no value - people do.
you make an excellent point!
There's only one problem - because the money originates at the Federal Reserve (remember, they're called "Federal Reserve Notes"), technically (and literally) WE borrow every single dollar we have from THEM.
Therefore, even when WE pay to bail their asses out, we must borrow money from them at interest to do it!
And we are still paying interest on the first installment of our money that we borrowed!!!
Add that to the fact that we kill and get killed fighting their wars and I really don't see how the deal can get any sweeter for them.
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"Money" has no value - people do.
The only solution is to SURGICALLY REMOVE THE PARASITES.
Sure I know life won't become all honky-dorey suddenly, but it will gradually be much more endurable.
I return home to my hometown, and I'm sad to say what I'm seeing.
Good point, QRS, about the financial system.
To take it one step further, the money that we borrow from the Federal Reserve is printed at the Bureau of Engraving and Printing, where all of that Monopoly money is printed up, at taxpayer expense.
We get to pay for the rope for the noose that is being tightened around our neck.
And maybe it's a coincidence, but the BEP in DC is located right next to the Washington, DC Holocaust™ Museum on 14th & C Streets, SW, in DC.
How convenient.
Wonder if there's a tunnel between the two buildings?
Wonder if that's where Israel got those 100 dollar bill printing plates they've been using to print up all of those phony 100 dollar bills that's been flooding the financial markets?