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Heads Should Roll not “Bank Roll”

Tuesday, October 28, 2008

Heads Should Roll not “Bank Roll”

Bank bailout and home owners are paying Bailout plan?   Now even smaller regional banks want in…What next?  Will I be able to defer my car payment or get the government, or more accurately, fellow tax payers to make my car payment?

Well, I know I am being sarcastic but, really, this program seems to be unnecessary.  Have you ever played organized sports?   If you did,  remember if you did not perform you were benched or simply cut from the team?

I don’t remember anyone giving me their statistics, so I could stay in the game.  I believe that same philosophy should apply to financial institutions that are not performing.

Let the market take care of itself.   Similar to the animal kingdom..the strong will survive.  Sometimes it is not really strength that allows them to survive it’s the animal’s instincts.   Don’t these people, we trust our money with, have instincts…Oh,  or maybe some ethical compassion?

This whole failure is based on the repackaging of  Real Estate investment vehicles, to the degree, no one can even tell what it is.   What it called? A CBO?.   Most economists can’t even tell you what a CBO contains.  Not only that but, the agencies grading these investments,  were hired by the packager/holders.

Conflict of interest or what?!  How can an investment, rated by these agencies as AAA  (the highest of grades), be worthless to the extent that we have to bail these guys out?  I hope some heads roll after the election….

I understand that some families bought homes that they really could afford and simply find themselves in a bind.  I am not heartless!  They should get some help.

The problem is how to help those families and not bailout banks that failed to protect the interests of their investors in the process.   I believe solutions have been poorly explored, due to political expediency and C.Y.A.  Now we are all paying the price.

I am not done talking about this…I just need to stop to put my fingers under water and put out the fire!  You can take it from here.

What do you think about Banks getting a bailout while homeowners suffer?

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One Response to “Heads Should Roll not “Bank Roll””

  1. Michael Roberts’ Blog – Buying Real Estate Foreclosures- Short Selling Homes in Santa Clara County » Blog Archive » Pay now or Pay Later? on November 25, 2009 at 12:54 pm

    [...] you remember that commercial?  Was it a Mr. Goodwrench add?   We now know we payed them then and bailed them out this year too!  Payed both times right? [...]