Who Would Lose Under Obama’s Financial Reforms

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Many years back starting al least under the Clinton admistration if not before Feds put extreem pressure on banks to make risky loans. Most banks resisted the threats (and these were very intimidating). Local community businessmen found the opportunity to make these loans at a good profit with mortgage broakers. These loans would then be packaged and sold to wall street at a good profit. Things were going well and these loans were praised. However these loans were somewhat if not completely fraudulent. Government was happy the economy was happy so the banks decided to get in on the action. Banks offered these loans as did the locals as resets. Everyone bundled these loans and sold them to wall street as they could although some banks kept some. The economy heated up and then things went bad. The same politicians who pressed for these loans suddenly blamed and persicuted the businessmen for the collapse. Businessmen did not start this collapse, politicians did. Do not be fooled by hucksters trying to blame someone else for the current crisis. I have watched this unfold by both Republican and Democrate and I am disgusted that they get on television and jump on businessmen for this problem. Our politicians are out of control. Do not always believe what you hear them say as well as my coments.

Wayne Halcomb of TN 11:22PM August 15, 2009

The lemmings are ready to line up behind their laughable financial gods. I can sense the desperation "please save us!" hope in the people again as their childish impatience towards Obama wanes and their gambling addiction personality turns back to the house money thieves. The greatest bank heist in the history of the world and all's anyone can do now is point fingers at Obama and start falling in line, on their knees, to the financial superstars to bring it all back. I got news for you anti-Obama people laughing at him after only half year on the job: Iraq will settle now that USA is moving out (thanks to Obama), Iran will fade (protests will continue against the bearded dope), North Korea is weak shooting blanks into the sky as their leader dies a slow death (Obama is brilliant to completely ignore their bottle rocket displays), success in Afghanistan (don't be surprised if "he's dead" or "we got him" news comes out within a year regarding Odopo Salami Bin Nothing), an economic recovery, health care plan in place, while China/Russia/Europe will struggle. By 2011 things are going to start rolling along in a sweet way and Mr. Obama will be Mr. President, again. The dinosour Democrats road blocking Obama will not be forgotten when he says "I told you so" behind the scenes. George Bush is going down as the worst president ever. Conservatives will run Palin and it will take 20 years for them to recover. Have your laugh or panic today because in summer of 2012 things are going to start rolling up...thanks to the smart people who voted Obama into the White House.

Lemming Watcher of CT 4:24PM July 14, 2009

I was on the fence on Bush even though I lean right. The longer I see what Obama is doing, the more I like Bush. Bush was firm with Iran and they did not like him but at least he had a strong position. Obama tried to be nice, it backfired in his face, and then was asked what he was asked by their fearless leader why he is being so much like Bush. Bush said North Korea is part of the axis of evil. People laughed. Now they want to nuke us. Give him a chance? To do what? Drive up debt? Look... I am for giving everyone that can't afford healthcare a break BUT as with all government aid to the poor, drug test anyone recieving it. You fail, you're done! One strike!

Eugene of NY 2:56PM July 14, 2009

Making loans available to those who could't qualify let alone make the payments is what caused the meltdown. The great socialist dream of every person owning a house caused our demise. The fact that the banks willingly lent to people they knew could never pay says we have more then one guilty party.
Look who gets the bail out, the banks and the irresponsible buyers.
I say let the housing market fall and see how quickly the real estate is bought by those who are responsible and save and are prepared for the opportunity, let the banks fall and let other banks come in and take over.
Capitolism works, these banks without influence from Congress would not make the stated income loans, it would be suicide and when you failed nobody would rescue you. The government intervention in the free market is the culprit and we are fixing it with more government intervention.
I do believe Obama is enjoying the crisis, using it as an opportunity to take control of the private sector.

Cindy of CA 2:37PM July 14, 2009

I Have had many poor suffering rich clients that I had to listen to while they wined about not making any money! It got so old that one day I asked a physician frankly what his definition of suffering was. He looked so perplexed!? What do you mean..he asked? I said, your telling me that your malpractice insurance was getting so high that you almost can't afford it anymore, right? That's right, he said! So why did you build this $4.8 million dollar home, I asked? Why don't you live within your means like the rest of us have to? I lost his account.
Don't ask me to feel sorry for people who can afford to live in the lap of luxury while saying they're struggling. Look for Republican "trickle down" economics in your own company! You will seldom find it. It doesn't work that way. Employees seldom reep the benefits of their hard work for a company. That being said, no one is worth millions of dollars a year. If you think you are, I pitty you.
By the way, if your not ashamed of the last 8 years...your just ignorant.

Jim of GA 2:30PM July 14, 2009

Who gets bailed out has nothing to do with who deserves a bailout, or who wasn't stupid, it has to do with what can and can't be accepted failing. you made a smart deal and bought a house you could afford on terms that made sense: good. your neighbor didn't. Their home forecloses, your home loses value and the neighborhood decays.
If banks are less likely to loan money or extend terms on previous loans, regular folks suffer.
Monetary systems are not rational ones, they are emotional and superstitious, if major companies lose money, investors freak out and cause a ripple effect that will kill your 401K and damage the bank where you have your money saved. This doesn't mean you lose your cash; that is FDIC insured, what it does mean is that that bank can no longer do as much to help local businesses. These businesses falter and have to cut people, those people default on home and car loans and credit cards. Home ad car prices drop locally first and then it ripples out hurting more business and more banks. Credit cards, when enough people default, shift their terms and cut your available credit, which hurts your credit score, even though you didn't do anything wrong. Or they change terms in other ways that encourage credit card holders to become late on a payment so their interest rates can go above the federally defined "loanshark" rates.
We are all in this together, geniuses and schmucks alike. The economy is basically a housing development built on landfill (like San Francisco): shake hard enough and everything sinks down.
What the nation needs is a decentering of the economy away from major institutions and centers of banking and back towards local business and local banks. This way if one collapses, something else fills the gap, but at worst only one city feels the pain directly.
The country also needs its people to know more and live their lives on auto pilot less, which goes directly against all the better instincts of self-serving politicians and companies. It's harder to govern and market to rational, aware people and easier to govern and market to people who are largely clueless, emotional, and prone to symbolic and magical thinking. We have to work as a nation to get past "Bumper Sticker," one-liner logic and ask more of ourselves.

Josh J. of GA 2:25PM July 14, 2009

Come on, he already out spent all of the previous presidents. Socialism doesn't work, there are too many lazy people around.

Capitalism of CA 2:22PM July 14, 2009

I am awake, and Mr. Obama hasn't even had a chance to get going yet. It's only been about 6 months, and the strategies being laid now will take time before they begin bearing fruit. I agree that Mr. Obama certainly can't do a worse job than Bush did, and it is about time that this country had a chance for change. Any taxes that become necessary are not the fault of Mr. Obama. He is in no way responsible for the financial, housing, economic problems; these were the result of years of lacking oversight and greediness of corporate hucksters (supported by Bush and other previous administrations). Another part of the problem has been the failure of those responsible to take responsibility. Well, now we have to pick up the pieces, and if we don't fix the problems now, our kids will be the ones dealing with even worse problems due to our inaction. Don't let it happen, and give the guy a break. In fact, why not get off your butt and start plugging away at the problem yourself! Roll up your sleeves, and get involved in solving the problem; not just writing your complaints here. I am sure Mr. Obama would appreciate the support. Try to imagine yourself in his position, and everyone wanting to complain, but not willing to lend a hand...

Corey of NJ 2:21PM July 14, 2009

Lets not forget about the war spending, which I believe to be directly responsible for the down turn in our economy. It left us extremely vulnerable to recoup as a country when we had spent over 700 billion in a war that was not inevitable. If you remember around 700 billion was the amount of the first BUSH stimulus package. What would have happened if we had not spent that money and gone to war to eliminate a dictator and his regime that his closest enemy neighbors did not fear as a threat? Obama is only one person of many that are involved in this recovery. Obama is not trying to finish what his father started as I feel W did in his personal decision to use the threat of terrorism to convince the world to go to war with Iraq.

S.A. of CO 2:16PM July 14, 2009