Secret Fed Loans Gave Banks $13 Billion

[Cannon Shell]

Originally Posted by dellinger63

The vast majority of TARP money and according to the Fed all of the $7.7 trillion floated below market rates has been repaid. The $13 billon is profit, I presume(for the most part made loaning out that below market money at above market rates). The same can't be said for the $300 billion to Freddie and Fannie. This is bad, egg on the face of both dems and reps but there are bigger fish to fry IMO.

Unlike capital equity firms, REITS, banks, private investment etc etc. the government does not belong in the bailing out anything business as unlike the private sector the government has zero concern for the bottom line much less the risk involved.

Banks and alike who became investors in mortgage securities based on hope instead of sound business logic should have been forced to sleep in the beds they made. The same with those who signed mortgages with no money down and or cash back at signing.

Just as there should be no such thing as too small to succeed there should be no such thing as too big to fail. At least we can learn from our mistakes and say never again.

While in principle a lot of what you said is true the fact remains tht the govt is still run by pols and the political influence into everything the govt touches will not change