Page 1 of 1
Bailed - Out Banks Face Probe Over Fee Hikes: Report
Posted: Mon Apr 13, 2009 9:41 am
by dbackjon
U.S. banks that received money under the Troubled Asset Relief Program (TARP) are facing a probe over increases in rates and fees, the Wall Street Journal said. The Congressional Oversight Panel, the body named by Congress to oversee the federal bailout, is working on a report examining instances of potentially inappropriate lending by banks that got taxpayer capital, according to the paper.
"The people who are subsidizing the activities of the banks through their tax dollars are the same people who are furnishing the high profits through consumer lending," Elizabeth Warren, chairwoman of the Congressional Oversight Panel told the Journal in an interview.
"In a sense, we're asking taxpayers to pay twice," Warren told the paper.
The U.S. Treasury Department's $700 billion TARP was intended to provide lenders with more capital to spur lending and improve the economy.
Since TARP was launched in October, banks bolstered by capital infusions have boosted charges on a wide range of routine transactions, hiked rates on credit cards and continued making loans criticized as predatory by consumer advocates, the Journal said.
http://www.nytimes.com/reuters/2009/04/ ... .html?_r=1
Re: Bailed - Out Banks Face Probe Over Fee Hikes: Report
Posted: Mon Apr 13, 2009 10:07 am
by OL FU
Just take them over and give us all interest free loans and no ATM charges
Re: Bailed - Out Banks Face Probe Over Fee Hikes: Report
Posted: Mon Apr 13, 2009 1:26 pm
by AZGrizFan
Here's a little economics lesson for you, Jon. If they needed a CAPITAL injection, that means they're running low on EARNINGS. The only way to build CAPITAL is to increase EARNINGS. And the only way to ever pay back the TARP money is to increase EARNINGS. Unlike the government, banks can't just print this shit in a basement.
The quickest way to return banks to profitability: Have people start paying their fucking bills.
Re: Bailed - Out Banks Face Probe Over Fee Hikes: Report
Posted: Mon Apr 13, 2009 1:33 pm
by dbackjon
AZGrizFan wrote:Here's a little economics lesson for you, Jon. If they needed a CAPITAL injection, that means they're running low on EARNINGS. The only way to build CAPITAL is to increase EARNINGS. And the only way to ever pay back the TARP money is to increase EARNINGS. Unlike the government, banks can't just print this shit in a basement.
The quickest way to return banks to profitability: Have people start paying their f**k[*] bills.
I understand economics...
Re: Bailed - Out Banks Face Probe Over Fee Hikes: Report
Posted: Mon Apr 13, 2009 1:34 pm
by AZGrizFan
dbackjon wrote:AZGrizFan wrote:Here's a little economics lesson for you, Jon. If they needed a CAPITAL injection, that means they're running low on EARNINGS. The only way to build CAPITAL is to increase EARNINGS. And the only way to ever pay back the TARP money is to increase EARNINGS. Unlike the government, banks can't just print this shit in a basement.
The quickest way to return banks to profitability: Have people start paying their f**k[*] bills.
I understand economics...
Apparently the Congressional Oversight Committee doesn't...
Re: Bailed - Out Banks Face Probe Over Fee Hikes: Report
Posted: Mon Apr 13, 2009 1:40 pm
by dbackjon
AZGrizFan wrote:dbackjon wrote:
I understand economics...
Apparently the Congressional Oversight Committee doesn't...
I think the Committee was hoping they would cut expenses (bonuses, exec compensation FIRST).
Ends up the little guy gets double screwed - higher fees, bigger national debt
Re: Bailed - Out Banks Face Probe Over Fee Hikes: Report
Posted: Mon Apr 13, 2009 1:41 pm
by AZGrizFan
dbackjon wrote:AZGrizFan wrote:
Apparently the Congressional Oversight Committee doesn't...
I think the Committee was hoping they would cut expenses (bonuses, exec compensation FIRST).
Ends up the little guy gets double screwed - higher fees, bigger national debt
I think most banks HAVE....I know WE have, and we didn't even GET TARP money. But a lot of expenses are fixed, and there ain't a damned thing you can do about them.
Re: Bailed - Out Banks Face Probe Over Fee Hikes: Report
Posted: Mon Apr 13, 2009 1:42 pm
by OL FU
dbackjon wrote:AZGrizFan wrote:
Apparently the Congressional Oversight Committee doesn't...
I think the Committee was hoping they would cut expenses (bonuses, exec compensation FIRST).
Ends up the little guy gets double screwed - higher fees, bigger national debt
They could change banks
Re: Bailed - Out Banks Face Probe Over Fee Hikes: Report
Posted: Mon Apr 13, 2009 1:46 pm
by dbackjon
OL FU wrote:dbackjon wrote:
I think the Committee was hoping they would cut expenses (bonuses, exec compensation FIRST).
Ends up the little guy gets double screwed - higher fees, bigger national debt
They could change banks
Indeed - or at least threaten to, which I did, and got fees waived
Re: Bailed - Out Banks Face Probe Over Fee Hikes: Report
Posted: Mon Apr 13, 2009 1:50 pm
by AZGrizFan
OL FU wrote:dbackjon wrote:
I think the Committee was hoping they would cut expenses (bonuses, exec compensation FIRST).
Ends up the little guy gets double screwed - higher fees, bigger national debt
They could change banks
Yep. Just go to their local credit union!
Re: Bailed - Out Banks Face Probe Over Fee Hikes: Report
Posted: Mon Apr 13, 2009 1:50 pm
by dbackjon
And look for the label, the union label!!
Re: Bailed - Out Banks Face Probe Over Fee Hikes: Report
Posted: Mon Apr 13, 2009 1:51 pm
by AZGrizFan
Re: Bailed - Out Banks Face Probe Over Fee Hikes: Report
Posted: Tue Apr 14, 2009 6:30 am
by ASUMountaineer
dbackjon wrote:
And look for the label, the union label!!
Oh snap.
Re: Bailed - Out Banks Face Probe Over Fee Hikes: Report
Posted: Tue Apr 14, 2009 8:51 am
by AZGrizFan
