Financial Industry Bailout - Will It Happen?

September 28, 2008 by Curt Siters

The Corporate Bailout Saga (continues)

This morning it was announced that a bailout plan has been, for the most part, agreed to by both the house and the senate to the tune of $700billion.

This week congress will be debating and voting on it. The announcement came out this morning and the House will be voting on it today. Isn’t it nice how something this important gives the citizens very little time to weigh in? The Senate at least gives you a few days - until Wednesday or Thursday.

Once again I ask - Where is the money coming from? According to what I heard on C-SPAN it wasn’t going to cost the tax payers a dime. One of the congressional members say that we could lose money, break even or make money. Laughable as those are the only three ways it could turn out. He also said that he expects we will make a profit. But that leads to another question - WHO is going to make money? Will the American people make a profit or will the financial industry?

Back in the day when Chrysler was bailed out - Chrysler made a profit. During Savings and Loan bailout corporate officers mad a profit. Did either of those turn into profit for the American people?

Is corporate America going to foot the bill? I don’t think so as the Republicans wouldn’t allow it.

Are we going to borrow the money from other countries? We are already so indebt to other countries I am not sure they would loan us the money. They are getting strapped as well and what about the interest on the loans?

Is the Federal Reserve/Treasury going to print more/make more available? If they do that will devalue the dollar even more and cause more inflation.

I’m sorry, these financial institutions got themselves into this mess and should be get themselves out. If the CEO’s or other corporate officers are responsible don’t give them their options or “Golden Parachutes.”

The ones that really need the bailout are the folks who took the loans under the opinion/urging of the loan agency that it was all above board and everything was fine. They truly have no idea on how these work.

That is one reason why attorneys exist. They are there to help you, really. Pre-Paid Legal has made accessing lawyers easier and at less cost than you could find on your own. If you need to speak to an attorney, as a Pre-Paid Legal Independent Associate, I can help make that happen for you.