Comments on: The auto is it a bail out or bridge loan? Do you think it should be passed? What do we do about the banks? http://www.secretfinance.com/blog/the-auto-is-it-a-bail-out-or-bridge-loan-do-you-think-it-should-be-passed-what-do-we-do-about-the-banks/ Thu, 17 May 2012 21:10:57 +0000 http://wordpress.org/?v=2.7 hourly 1 By: chicago2210 http://www.secretfinance.com/blog/the-auto-is-it-a-bail-out-or-bridge-loan-do-you-think-it-should-be-passed-what-do-we-do-about-the-banks/comment-page-1/#comment-1218 chicago2210 Wed, 25 Feb 2009 11:22:42 +0000 http://www.secretfinance.com/blog/the-auto-is-it-a-bail-out-or-bridge-loan-do-you-think-it-should-be-passed-what-do-we-do-about-the-banks/#comment-1218 Pass it again. Pass it again.

]]> By: Pfo http://www.secretfinance.com/blog/the-auto-is-it-a-bail-out-or-bridge-loan-do-you-think-it-should-be-passed-what-do-we-do-about-the-banks/comment-page-1/#comment-1217 Pfo Sun, 22 Feb 2009 19:54:20 +0000 http://www.secretfinance.com/blog/the-auto-is-it-a-bail-out-or-bridge-loan-do-you-think-it-should-be-passed-what-do-we-do-about-the-banks/#comment-1217 It's a bridge loan. The term bailout is something that the media has been abusing because it's easier to understand for common folk. "They aren't uncommon in business and since the banks aren't loaning with the bailout money they have been given shouldn't we help out." The banks aren't lending because the Big 3 can't prove that they can pay it back. That's the problem. If it were certain that they could generate profits sometime within the next year, banks would certainly lend them money. The banks have mostly been using the money to clean up their balance sheets, similarly to how most Americans paid off debt or bills when they got there stimulus checks. Would you feel OK if the government reclaimed your stimulus check because you didn't run out to the mall and buy something? It’s a bridge loan. The term bailout is something that the media has been abusing because it’s easier to understand for common folk.

“They aren’t uncommon in business and since the banks aren’t loaning with the bailout money they have been given shouldn’t we help out.”

The banks aren’t lending because the Big 3 can’t prove that they can pay it back. That’s the problem. If it were certain that they could generate profits sometime within the next year, banks would certainly lend them money.

The banks have mostly been using the money to clean up their balance sheets, similarly to how most Americans paid off debt or bills when they got there stimulus checks. Would you feel OK if the government reclaimed your stimulus check because you didn’t run out to the mall and buy something?

]]> By: Back to fix "change" http://www.secretfinance.com/blog/the-auto-is-it-a-bail-out-or-bridge-loan-do-you-think-it-should-be-passed-what-do-we-do-about-the-banks/comment-page-1/#comment-1216 Back to fix "change" Fri, 20 Feb 2009 15:19:08 +0000 http://www.secretfinance.com/blog/the-auto-is-it-a-bail-out-or-bridge-loan-do-you-think-it-should-be-passed-what-do-we-do-about-the-banks/#comment-1216 The suto industry have no good ideas on how to turn business around and the UAW keeps taking more. 14 billion is putting a band aid on a gun shot wound. The suto industry have no good ideas on how to turn business around and the UAW keeps taking more. 14 billion is putting a band aid on a gun shot wound.

]]>