Forum Replies Created
-
AuthorPosts
-
bubba99
ParticipantBut because banks can get .5% money, the return on my CD’s has gone from 5% to 1%. Even their “other” money is cheap now because of the fed actions.
Plus the average yield on assets is down because of write downs for reserves for losses on “bad loans”.
Cheap money, plus bad loan management equals “any idiot can make money under these conditions”
bubba99
ParticipantBut because banks can get .5% money, the return on my CD’s has gone from 5% to 1%. Even their “other” money is cheap now because of the fed actions.
Plus the average yield on assets is down because of write downs for reserves for losses on “bad loans”.
Cheap money, plus bad loan management equals “any idiot can make money under these conditions”
bubba99
ParticipantLeave us not forget that the fed is lending to banks for day to day operations at 0% to 0.5%. The banks are lending that money out at 10% to 30%. Any idiot could earn on that point spread.
Plus, the explicit Fed quarantee of MBS’s by the fed keeps the many call options from sending the crap back to the originating banks.
Tarp is only a piece of the bailout.
bubba99
ParticipantLeave us not forget that the fed is lending to banks for day to day operations at 0% to 0.5%. The banks are lending that money out at 10% to 30%. Any idiot could earn on that point spread.
Plus, the explicit Fed quarantee of MBS’s by the fed keeps the many call options from sending the crap back to the originating banks.
Tarp is only a piece of the bailout.
bubba99
ParticipantLeave us not forget that the fed is lending to banks for day to day operations at 0% to 0.5%. The banks are lending that money out at 10% to 30%. Any idiot could earn on that point spread.
Plus, the explicit Fed quarantee of MBS’s by the fed keeps the many call options from sending the crap back to the originating banks.
Tarp is only a piece of the bailout.
bubba99
ParticipantLeave us not forget that the fed is lending to banks for day to day operations at 0% to 0.5%. The banks are lending that money out at 10% to 30%. Any idiot could earn on that point spread.
Plus, the explicit Fed quarantee of MBS’s by the fed keeps the many call options from sending the crap back to the originating banks.
Tarp is only a piece of the bailout.
bubba99
ParticipantLeave us not forget that the fed is lending to banks for day to day operations at 0% to 0.5%. The banks are lending that money out at 10% to 30%. Any idiot could earn on that point spread.
Plus, the explicit Fed quarantee of MBS’s by the fed keeps the many call options from sending the crap back to the originating banks.
Tarp is only a piece of the bailout.
bubba99
ParticipantI guess the possibilities are endless. But we should probably expect underwater seconds to be challenged in court not through foreclosure. This could really change the jingle mail walk away strategy – at least for non-recourse.
bubba99
ParticipantI guess the possibilities are endless. But we should probably expect underwater seconds to be challenged in court not through foreclosure. This could really change the jingle mail walk away strategy – at least for non-recourse.
bubba99
ParticipantI guess the possibilities are endless. But we should probably expect underwater seconds to be challenged in court not through foreclosure. This could really change the jingle mail walk away strategy – at least for non-recourse.
bubba99
ParticipantI guess the possibilities are endless. But we should probably expect underwater seconds to be challenged in court not through foreclosure. This could really change the jingle mail walk away strategy – at least for non-recourse.
bubba99
ParticipantI guess the possibilities are endless. But we should probably expect underwater seconds to be challenged in court not through foreclosure. This could really change the jingle mail walk away strategy – at least for non-recourse.
December 3, 2009 at 7:55 PM in reply to: Will the next “bad event” happen in the gov sector ? #489961bubba99
ParticipantI think it is already a given that California is/will be bankrupt.
Numbers from the cal budget summary
http://www.ebudget.ca.gov/pdf/BudgetSummary/SummaryCharts.pdf
The “budget” they put together is a joke. If they cut everything but education, prisons, welfare, and medi-cal – they still could not balance the budget.
Health and human Services 31.1 billion
Corrections 10.3 billion
K-12 education 41.0 billion
Higher Education 12.0 billionTotal of above 94.4 billion
Total state rev 90.0 billionThis excludes congress, DOT, Highway Patrol, the Courts, EPA et. al.
For the 2008-2009 year, California expects to spend 104 billion with 90 billion in income – -14 billion.
For the 2009-2010 year, California expects to spend 111 billion with 86 billion in income and a deficit of 14 billion from the prior year.
All tolled a 41 billion deficit. That’s 41 billion deficit on total revenue of 86 billion.
Sooner or later, the state will officially be bankrupt.
December 3, 2009 at 7:55 PM in reply to: Will the next “bad event” happen in the gov sector ? #490127bubba99
ParticipantI think it is already a given that California is/will be bankrupt.
Numbers from the cal budget summary
http://www.ebudget.ca.gov/pdf/BudgetSummary/SummaryCharts.pdf
The “budget” they put together is a joke. If they cut everything but education, prisons, welfare, and medi-cal – they still could not balance the budget.
Health and human Services 31.1 billion
Corrections 10.3 billion
K-12 education 41.0 billion
Higher Education 12.0 billionTotal of above 94.4 billion
Total state rev 90.0 billionThis excludes congress, DOT, Highway Patrol, the Courts, EPA et. al.
For the 2008-2009 year, California expects to spend 104 billion with 90 billion in income – -14 billion.
For the 2009-2010 year, California expects to spend 111 billion with 86 billion in income and a deficit of 14 billion from the prior year.
All tolled a 41 billion deficit. That’s 41 billion deficit on total revenue of 86 billion.
Sooner or later, the state will officially be bankrupt.
-
AuthorPosts
