Originally Posted by
bionicarm
http:///forum/post/3194989
Your link on the banks is dated back in June. Here's an updated list.
http://money.cnn.com/news/specials/s...t/bankbailout/
The banks I was thinking about were the big ones like BofA and J.P. Morgan. Chrysler has paid back around $280 million of their loan.
The point I'm making is the stimulus package was not intended to be 'free money' for the banks and the automotive industry. It was always setup with the intention for these corporations to pay back the loans. Some have paid theirs back, some are starting to. If the loans wouldn't have occurred, a majority of these companies would have failed. In your true Capitalistic mind, that would be OK for you - cull out the herd and let the healthy ones survive. Unfortunately, allowing these major banks and automotive companies to fail, would have had a trickle down effect that would've surely put our economy into a Depression. Thousands more people than we have today would be unemployed, small businesses would fail left and right because none of the smaller banks would want to take the risk of providing loans, and some people would lose millions in investments and cash due to stock market drops, IRA, and Mutual Funds crashing. That's why the stimulus package was created. Based on what I've read, the taxpayers will actually gain more than they'll lose in the long run. The problem with the naysayers is they want immediate results. You want 12 month loan terms on several billion dollars. It's OK for you to get a 30 year
[hr]
to buy your house, but it's not OK for a major company to do the same.
You said chrysler AND GM have paid off their loans...now you are backpedalling as you were called out.
You stated the major banking firms have paid off their loans, when it is fact they are still receiving money from the stimulus plan outside of the tarp fund....
The banks were supposed to go back to loaning, yet I know several people with excellent credit that can't get a loan to help shore up their small business.....through this economy. The banks aren't loaning crap as they are sitting on assets in housing that aren't worth what they used to be.
You said the taxpayer will gain more when this is paid back? Is uncle sam going to float me some money then or lower my taxes since they are making money off my money in the first place?