Excuse me sir, do you have CHANGE?

Timothy Geithner is making drastic change in Washington...NOT...

It seems that the previous Repugnicant administration felt that unregulation, unaccounted, free and corrupt capitalism should and did prevail. Now, this new TARP(2) program being delivered is a change to...be "nearly" the same.

I guess change is defined as, not the same.

By that, it looks as though the banks will receive even more of our future tax dollars. But there is no real regulations as to how this money is to be spent...again. You can rest assured that the money will be another buffer as the banks unload their toxic assets to the wealthy investors for minute pennies on the dollar. One might think that they could get into the action, however, unless you can buy bulk, you will not be receiving these great deals.

You see banks are waiting to sell of these toxic assets (because there are no rules given as to them having to have to), to which they willing and actively created, because there are currently no buyers. The prices are not right yet. The banks don't want to sell them off at rock bottom and have to write them down. So, it seems, as they have waited so patiently, they are going to receive more bailout funding for their own actions to offset their write downs. In other words, exchange one dollar for the other. Then, the rich investors that cannot get into stalled Hedge Funds any longer will buy up those assets for pennies once the banks are assured of their losses through TARP money.

Then, there will be buy-offs and sell-offs before that trickles down to average Joe homeowner for a rewrite on their near to foreclosed mortgage. By the time average Joe homeowner can receive better options on his mortgage he might get a deal like 90 cents on the dollar. Quite a difference. However, average Joe homeowner will have an opportunity to receive a better rate on their credit card. That seems to be Washington's way of creating spending is by creating the availability to create more debt for the consumer.

The money is supposed to be issued as a stimulus package, but many more hundreds of billions will be going corporate before we find tens of billions getting into the hands of the people.

The funny thing about this is that "It's our funking money!!"







This, the 251st entry in bloggoland! Thanks for reading and coming back. I always enjoy the comments, emails and the banter!!


(c)Copyright 2009 Doug Boggs