Trump: Banks not lending… Friday, April 24, 2009
Posted by ei-forum in Miscellaneous.trackback
Despite politicians trying to get us to buy the fact that banks are lending, most market participants are confirming that this is simply not true!
Not only are they not lending to retail customers or corporation but they are still not lending to each other at anything like a normal rate of interest …
As Mr. Trump so kindly put it: “The banks are not lending money. There’s no money out there, no matter how strong you are, no matter how good your deal is, if you go to a bank today they virtually laugh at you if you’re asking for money.”
Sad but true…
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The Banks Are Not Lending
Where did all of that TARP money go. Obama’s Make Home Affordable program is not working. Our credit is excellent but the banks – GMAC and Wells Fargo and Bank of America – are jerking us around.
You are right about that. In my own case, I have excellent credit and our household income is about 250,000/year. We can’t get a new credit card – especially from Bank of America and even Capital One. We have been customers of Cap1 for years and have never been late on a payment (we are never late on payments to anyone else, either). We have very few open accounts because we don’t really need much credit. We pay off the Cap1 bill every month, whether it is $1500 or $15,000. Our limit is $20,000. They refused to issue a new card to us when we applied for a new one.
My brother in law (worth a couple million – retired) could not get a home loan. Again, excellent credit. They said if he even had a $40K/year job they would have considered it. He just ended up paying cash for it and gave up in disgust. It is CRAZY. The oligarchy has shut its doors to the peasants, that’s for sure.
You’re right Kalyson, it is crazy! It’s simply wrong… we have gone from one extreme to the other but what is a real shame is that the people who are being punished now are the people that can actually afford loans! We hope the media will start reporting this correctly!