Rosner: Force Banks to Write-down Bad Debt Before They Get a Dime of TARP II

If the banks don't hoard, they can't make the balance sheet look good and the stock suffers. Lower assets could cause a run on the bank and a Wamu-type bankruptcy. Banks need to look like they are rich, even if they are not, to stay in business.

They must show all hidden extra before money down......even they became naked like strip dancer.......No money no honey........show us all the deadly sin...,...

Wow, now this makes sense. Banks need to fess up, before getting anymore money from the taxpayers. Aren't the a business, albeit Ponzi Scheme like, just like everyone else. Can anyone say who got the first round of funds. No. They should also have to account for that, so we know just who is hoarding what. Time to take charge America, and carry out the plan of the day!

No more bailouts for banks. It's time to let the market be the market and wash out the idiot CEOs and their failed messed up banks.

NO MORE BAILOUTS!!! It's time for a plan for every man and woman. www.everymanplan.com

They stole it from us in the first place. Why in the *$#(! should they tell us where they are hiding it?

The banks are hoarding because they have the business skills to see that real estate is a bad investment which will continue to fall for at least ten years. Also businesses that ask for loans are the ones that have the highest chance of failing.

Problem I have is who and what are all these wonderful places the banks SHOULD be lending money. On the cusp or in the middle of a deep global recession with companies laying off thousands and house values falling where are all the wonderful profitable places to LEND money????? Please, give me three? Banks would be hoarding anyway, right?

Once the banks are taken care of, who will they loan money to? Businesses are going out of business and people are unemployed, so once again. Who will they loan to?"

"It's not going where we want it to go" Rosner's analysis suggest he wants it to go DOWN THE DRAIN. Very insightful. Let's listen to Rosner and send it down the drain....... Both Blodget and Rosner used the term "FLUSH IT". You guys are amazing!!!

the banks really don't want to hear what this guy is saying.... If ordernary people actually understand this sorry state of affairs. Then there guy Paulson might have trouble back handing then the next 350 billion.....dam!

Unless the money goes back into Main Street, then this mess will persist. It is time to facilitate a new means of originating debt, through a new version of Fannie or Freddie that can issue credit better than flushing money into companies that will ulitmately fail. The sad problem is the amount of people who will be laid off. The only hope for an economic recovery is job creation and credit facilities that will lend. Everyone clamers for housing fixed first then the credit markets will follow, housing has no hope until credit is unclogged and attained reasonably, that means that we shouldn't rush out and give no down stated income loans to a 580 FICO borrower (subprime, and this did not happen) or 25k credit card to someone who has 600 fico, but it does mean allowing easier means to qualify for a 10% down home loan in Los Angeles, some kind of line of credit for small business owners. Some way of businesses and investors to aquire capital so that they can right the ship. While creating domestic employment so people can go to work and spend their money here. There does need to come some form of responsiblity from Americans in general that they need to make sure that they do buy Made In America (and hope it really is made here).

Another day, another expert. But who is listening? Every one is busy "fixing" the problem or finding a "solution". From what we hear this expert say, is there anything difficult to understand? If the FI "knows" what it needs to restore itself out of this mess why wouldn't it go out and say so? Fear? of what?? Eventually if they have to meet the same end, would it help anyone to drag it on? If it is not Fear, then it has to be ignorance, which is very unlikely, given the time-frame we are looking at.

That means hold up.....show your bottom......before pleasure.............

BAnks make loans from deposits, not Capital. So all this TARP money isn't gonna due much for the economy. Granted, the TARP waste given to these banks might make their balance sheets look great, but that won't increase their loan making activities very much. What we really need, in additon to the bansk writing down their garbage investments, is to let capitalism runs its normal course so that the bad institutions can fail and the successful ones can get the financing to create future jobs.

El Paso Natural Gas is paying 15% on its corporate bonds because the money markets are dried up. Hospitals can't borrow money for capital costs because the money markets have dried up. Banks need to get off their butts and do their jobs.

This is to redundent, these banks are using money for everything other than making loans, buying names on staduiams, ect. they should be made to pay every dime back.. If the govenment would have given every elligable family in america, this would have done more the spur the ecomony than all the banks put together.

The banks should have been forced to shed their toxic junk BEFORE they were give a dime..... now they still have the junk and they are refusing to loan money........ we should take all of the bailout money back from them....

I couldn't agree to his opinion anymore. His opinion and solution seem to be the best I've encountered during this crisis.

Just expect the expected... another bailout failure! When the money vanished, the blames start!