Report: Government may soon back Fannie Mae, Freddie Mac

reply to post by Long Lance


The bad part is, most of the loans given out, there was no money in the banks to cover it from the start. They were loaning out millions of dollars that didin`t exist. The banks were making a killing from it. Loan out 0 money, and collect the interest from it. Nice set up, makes me think of starting a bank with my computer, just as they did. Geeez, what a scam.



[edit on 7-9-2008 by FiatLux]

This is just another band-aid along the path to insolvency. The real spin going into this is that the governments actions have saved the day. They almost welcome the arguments about big gov't and socialism, etc. because it keeps the publics eye off the fact that things are only getting worse. Another failed bank was announed Friday night and there are many more to come.

Our Debt, Deficits, interest payments, Entitlements, etc. are out of control. Putting more Debt in the mix is only going to accelerate all that. Sooner or later america's credit rating will drop, which will increase the interest on the ever increasing amout of Debt we need to operate every day.

The answer to companies collapsing under the weight of their Debt has been more Debt. We are the worlds biggest Debtor Nation. They've destroyed america.

reply to post by FiatLux


the bad part? i thought servitude and desolation were bad enough?!

paper money is like a bomd and increasing its volume would have to come from splitting, which isn't perfect either. as it stands i think the machine works in a few clear steps:

1) let people build a civilisation or country

2) assume control of money

3) take everything from them

4) make war to cya

rinse and repeat

If anyone has any illusions about the bigger picture here, I suggest you watch the video "Money as Debt" to understand what this move really means. I hosted it here in this thread...

www.abovetopsecret.com...

reply to post by oceanaut1


i completely agree with everything you say. Zeitgeist part 3 opened my eyes into all this. I'm still baffled that hardly anyone knows whats going on.

reply to post by Long Lance



Yes, poor choice of words on my part. But I do like your laundry list for new governments in the making(lol), good job.



[edit on 7-9-2008 by FiatLux]

wall st is gonna be hell tomorrow

Nah, tomorrow will be the usual delusional 'bad news is good news' schizofest. Won't last though, reality sets in before weeks end.

Everyone thinks the gov't can fix anything. That philosophy has nothing to do with what this country was founded on. Just like every Empire before, there comes a point when it goes broke.

Just spotted this article quoted at whatreallyhappened.com as a timely highlight about the BS that was being said only 2 months ago...

Dodd and Sen. Charles E. Schumer (D-N.Y.), chairman of Congress' Joint Economic Committee, offered reassurances.

"Fannie and Freddie are too important to fail. Their fundamentals, as they look now, provide no reason to think they will fail," Schumer said on the Senate floor. "These two institutions are the foundation of the American mortgage market, and we stand fully behind them and their crucial role."

"The facts are that these are sound, solid institutions with more than necessary capital today that the law would require," Dodd said.

source

Interesting thing I heard a guest talking on rense a couple of weeks ago, and that was the level of government sanctioned corruption in Fannie and Freddie was huge and had involvement with all kinds of agencies, particularly those needing to launder, disguise or raise money for black budgets.

It was the woman who talks about the 'tapeworm' economy but I can't remember her name right now.

She seemed to have some decent information about it all. The most interesting thing I thought was how she said government agencies and even the mossad where taking out up to 10 seperatge home loans under 10 seperate identies BUT all on the 1 property! Hence she said you get the rediculous situation where a home is foreclosed for example, sold off to someone, and then they come to foreclose on it again, kicking the legit owners out!

Interesting that right now rense.com is still down and thats for almost5 2 days now!

Also interesting to note that a new thread with the correct title about the buy out got shut down and transferred to this much less accurately titled thread.

Also interesting that as of the last 3 to 4 days, ATS has seemed to be (in my opinion anyway) swamped with rubbishy, trivial and irrelevant threads. Just look at 'Recent Active Discussions' to see what I mean! Its like informative, timely, topical threads are getting buried 'digg' style by all the new crap ones! Again this is a subjective feeling only and may just be a transient trend, but I thought it was worth mentioning! If anyone else also has thoughts please post them.

Hummm, I was thinking about something a while ago, so follow along with where I`m going with this. As the United States, we do not have a government run treasury system, the Federal Reserve right? It is a privately owned bank. Now, beings that Fannie and Freddie are a part of that private company, they feel that they are entitled to a bailout by the government. Huummm, now with that in mind, think of this. To fix the trouble, our government took, or is taking them over. That means, we foot the bill, right? In other words, it`s going to be our tax dollars that fixes the so called problem. Ok then, I believe the money used to fix this shoud be as a loan to this company. In other words, we should charge them interest on this bailout. Hey, it works both ways, they charge us for the use of their money, then so should we. Remember, this is money that these companies don`t have, it`s our money they want, just like we go to them to borrow, now they come to us to do the same thing. I think that our Congress should be made aware of this, if we are to bail them out. Oh, and believe me, they should be made to feel the sting of high rates just like they do to their customers, plus, the heads of these banks, should be made to pay back every nickel they stole, plus jail time. Hey, it`s only fitting, you do the crime, you do the time. Ask your representative what we the people are to get from this, other then the bill. See what song and dance they try and sell you. If they try and sell you garbage, tell them that as far as you are concerned, they will be out of office when they come up for re-election next time.

I know, it sounds far fetched, but hey, we need to do something to fight back. Any other ideas out there?

I posted the following article yesterday on another thread just as it was closed down by Mods, so it never saw the light of day.

Very interesting though:

market-ticker.denninger.net...

These two gigantic hedge funds intentionally manipulated their accounting to show a capital position that was stronger than reality, by pushing forward losses instead of recognizing them as they occurred.

While not illegal, it had the effect of lying to the markets, which put both firms at risk of all-on collapse.

Mmmmmm...sounds like Enron all over again!

reply to post by Britguy


Well, that`s what greed will do to people in those positions. They were out for as much as they could get, and then fudged the books to try and cover it. But, it back fired on them when a majority of the people who had loans through them, filed bankruptcy and forced it out in the open.

Yes, it`s tragic in many ways, but at least it now shows the American people just how big companies can and will screw them over. Yet our great government allows the big shots to just walk away with their pockets full, nice, real nice. This alone should tell you not only about big companies, but our government also. But, will it wake people up?

I even had someone tell me yesterday that we need to turn the other cheek and not hate them. My responce to that was, we have already turned four of them, our faces and our backsides both, now the government wants us to just grab our lower cheeks for them.



[edit on 8-9-2008 by FiatLux]

[edit on 8-9-2008 by FiatLux]

I think my man Jim Rogers said it quite well on an interview from CNBC.

www.cnbc.com...

Check it out. America is not more communist than China. That about this people when you make your mortgage payments it will be to the government now. I mean this is what the Soviet Union did people. On top of this WE the taxpayer are paying for this out of our pockets. WOW!!!! People really are stupid and this is why I feel people need to be led. There cant be a free people because people really are to stupid. I used to not think this way but wow we the American people were given a great opportunity at freedom and through the generations we have squandered it. Make no mistake people this power grab will be done in the name of "financial security" similar to all the wars and fear mongering and rights taken away in the name of "homeland security" Catch my drift?

Shocking! The government stepping in and bailing out an irresponsible and reckless lender. While I know many prefer to place the blame on the individuals taking the loans, it all starts with the lender. The lender is by default (and whether we like it or not) THE authority on lending and the individuals who were sucked into these loans were reliant upon the lenders to make these decisions. Sure, we can say that anyone should have known, but when the expert tells you one thing, it's hard not to believe it. I grow more and more disgusted every day when I see the government taking care of the predator rather than the victim. Fannie, Freddie, Bear Stearns and whomever goes next did it to themselves and should be solely accountable for their errors.