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by Edgar Allen on February 10th, 2009

Edgar Allen

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Instead of pouring billions into bankrupt giant banks, why doesn't the government give the citizens this money expressly to pay off their debts? Wouldn't us giving it to the banks to pay off our debts be a win-win for the country?

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  • by Carpediem COAT ab imo pectore on February 10th, 2009

    Carpediem COAT ab imo pectore

    Lets get our facts strait. There are two packages, one is the Stimulus which is ONLY for the people and big companies or banks have no business in it. The second package is the other 50% of the BAILOUT that was given by the previous administration to the Federal Reserve and which was supposed to be ONLY to buy toxic assets related to the housing problem to stop foreclosures and thus save the many homes.

    1] STIMULUS PACKAGE TOTAL OF 839 BILLION: There are cash amounts that will be given directly to the people, some amounts are as bonus on each monthly payment the people get; the other amounts are for either single or married people as relief; there is another amount to be handed to the people but only for first time home buyers; the big one is of 80 billion which will be used for those who have lost their jobs and food stamps for the very poor people and the balance for reconstruction efforts. Full description in the enclosed link:

    http://www.msnbc.msn.com/id/21134540/vp/29071082#29071082

    2] HOME BAILOUT PACKAGE TOTAL OF 700 BILLION: This is the original package out of which 350 billion were handed out by the previous administration to the Treasury, it was wrongly spend and thus the money did not go to bailout the homes for which it was authorized and no one knows how it was spend. Now congress has a watchdog team with a large group of specialized people to check each cent that was spend and how it was spend. Now we know that Hank Paulson lied to congress and it was not a par deal, which meant that for each $100 we lend the banks we would get back around $ 98/100, but it has been found that for each $100 we lend we have lost $34 dollars which is not what was agreed and that was a huge lie and loss for the country. These first $350 Bilion are being audited to know what exactly happened.
    Reason why the banks and other companies who received bailout money have had their income lowered to 500 thousand a year plus bonus which they can not cash in until the full debt has been paid back to the government and now have strong strings attached.

    http://www.msnbc.msn.com/id/21134540/vp/29120834#29110713
    http://www.msnbc.msn.com/id/21134540/vp/29120834#29044003

    3] HOME BAILOUT PACKAGE THE OTHER HALF 350 BILLION:
    The full explanation is in the enclosed video links:

    http://www.msnbc.msn.com/id/21134540/vp/29120834#29120834

    Now, if those huge companies want government money they will have to present a well explained plan, they will have to accept the conditions for the loan and their income will be lowered to what has already been said meaning huge strings attached and accountability.

    I hope this helps understand the situation.

    Comments

    • "to buy toxic assets related to the housing problem to stop foreclosures"

      so, the Treasury (or Fannie Mae or something) buys loans that are in default?

      so now the homeowner owes the money to the government, and the government holds the deed?

      so now the government is going to be foreclosing, instead of the bank? or does the government promise not to foreclose?

      purplecows

      by purplecows on November 10th, 2010

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