Bailout Nation: More Govt. Control of JPMorgan, Citi, BofA Coming

Why not change the Mark to Market rule that started the dominos falling in the first place. If these mortgages don't all fail(and they won't because we aren't even up to the level of defaults that is reguired to be on reserve in the first place), there will be some equity left in the mortgage pools, thus - worth left in the holdings. Now that the government owns those pools, they will be holding the only asset worth anything once this is over. Everything else got sold off or seized at a fire sale. Capitalism just got gutted and the federal government is waiting in the wings to capitalize on the profits in a few years because it has no other way to keep funding these deficits, other than pillage from private corporations. keep asking for bigger government(more help) and this is what you get...... they'll help you right out of your freedom, and what's left in your wallet too!

I ain't picking up the soap for these bastards ever again....

what about all the mortgages that are currently valued at $0? BAC, JPM, and C have a nice treasure trove of assets that will eventually be worth more than $0... these will be 'found money' and will offset the losses that people are currently seeing (and extrapolating). This guy was too negative. The system will repair itself.

People who have made risky investments hoping for a high return should not be bailed out. There were always low-risk investments available for the non-greedy, still are.

No more career politicians. Every time there's an election, vote out the incumbents. We can no longer trust either party to do what's right for our country. We can't afford these bozos who are only in it to full their pockets with money, get free health care and great retirement packages.

hey REEDERSONG ifthat oil offer is still there i'll buy it lol FREEBIRD !!! oh and TURN IT UP

They should just close down Wall Street.

Doug C: Break-up the banks? You must be a utopian of sorts. The banks will not allow greater competition but are using this crisis to stifle and reduce competition (iow - force further consolidation). The government is only too willing to support this. The banks will never

-- "We need someone to control the government!" We do have that some"one." It is the Bankrupters and Fraudsters of New York City (a term I coined in 2003)! They control the USG and the Fed thru their political and appointed agents. The American People, born-and-bred dopes, are politically impotent. They show their idiocy by voting! Because they can only vote for one of the agents of the Crooks. Jas

There is some blame to go around BUT Congress, the likes of Dems Chris Dodd and Harry Reid, et al, coerced thru threat of legal action, many banks to make zero or ultra low down loans to deadbeats just to get people into homes they had no business "owning." That was the start of it. I have seen this crisis coming for years -- YEARS -- it's time to pay the piper, but not on the good taxpayer's funds. And that's EXACTLY what will happen -- huge tax increases to finance the myriad bailouts. I'm going the Atlas Shrugged route -- this total meltdown will not utilize MY personal funds via taxation. I'm removing myself from the corrupt system. Every man for himself now -- those with half a brain need to see the writing on the wall re the upcoming full-on socialism coming fast and furious when That One is chosen, probably via voter fraud. What a bunch of idiots populate this country now. They deserve what they will get.

I agree with Catinabank that banks will start being prudent about assessing borrower's risk accurately hereonwards. The main problem for this crisis was poor underwriting standards and loans were given even if people deserve it. Going forward, banks will have to look carefully at the borrower's credit score and job security score, if they don't want to be bailed out again!! Banks should give out loans, but only based on creditworthiness or else we will have similar mess again in future.

Make a list to the public of all the "Bonus" amounts paid to bankers. Also make it public the amount of Bonis and/or golden parachite monies to be given to CEO's so the public can purchase equity in other areas.

So, now the authorities have suddenly woken up from their slumber and take note of so many discrepancies in financial markets. Where does the the govt. money go ? Giving credit to the businesses:small & medium or save the loss making large corporations and financial institutions so that they can stand some more time? Everything is in turmoil, may be a melting pot and none knows what will be the final outcome. Shall we overcome the depression or fall flat on face like the Great Depression? And why not accept the truth that yes it is depression!

This story tells us that the expert pundit quoted states that politicians "are lying to us". Well no sh*# sherlock. I could have told you that. This economic "crisis" was manufactured by the elitist insider NEW WORLD ORDER bunch with one goal in mind; increasing their power by increasing Government powers (since they purchased Government Executive and some Legislative Branch) over banks, investment houses, etc. through the use of a "crisis" in order to pass new emergency "temporary" (will become permanant when the fickle public forgets about it and focuses again on the next episode of "Desperate Horny Slutty Housewives") Government powers. The U.S. public is watching the rapid increase in Socialization of our economic system where these insiders will soon have control over much more commerce and the basic money supply. Now the "big 3" that remain after the planned carnage of Government induced and planned "firesales" of competitors of JPMorgan/Chase, CitiGroup and Bank of America, in collusion with the privately held Federal Reserve System (whose owners include Chase and Citi) have almost complete control of our money supply to do with as they please, to continue milking the middle class of every last drop of blood they can get. Voting for your choice of idiots on Nov 4 will not make a bit of difference Comrad.

You will part with the $56K because you BELIEVE in the investment and understand that you need some skin in the game. It is not a guaranty that your housing price will hold. Nothing is guaranteed and shouldn't be. These banks are owned by their shareholders. They are not/should not be in business for socialistic purposes. They must cover their asses because they must be healthy to continue to provide a product (loans) and provide a profit to shareholders (net of losses). These are not lame ass excuses. They won't sit on cash if they can successfully deploy it and make a profit. Don't buy a house until you are convinced that the price is right for you, you can make the payment, and you are willing to provide a downpayment. This is home "ownership". How can it make sense for you to get all of the upside of appreciation with absolutely no money invested? No money down means you don't OWN anything. Ever heard of Fair Credit? Banks must take a consumer application seriously. They won't decline unless they can uniformly decline everybody with the same conditions. You are confusing the unregulated "mortgage" industry with legitimate "regulated" consumer lenders.

The banks can't sit on the loans and wait for the market to come back. This is survival of the fittest. If they can't handle the bad loans, and need a government bailout and need to sell the assets to the government, that is their problem. Stockholders will not invest in a poorly run institution, so then the investment market falls apart and so does the savings of the country. When you are complaining about banks hoarding low value assets until they can make a later killing, think about the health of the bank. You want FDIC insurance on your deposits. This can only happen when the financial institution has good loans to back the health of the bank. Or, at least it used to, until the government came in and provided "free insurance" even in the lousiest banks. This won't work. You can 't have it both ways. Move your money to a healthy bank, borrow from a healthy bank, and be prepared to have a good credit rating, a down payment, and the documented ability to repay. This is the way business borrows. It should be the same for consumers. Not everybody will be a home-owner. That is just the way it goes. Get an education, a good job, and teach your children the same values. We just got spoiled and ignored reality. We all knew it couldn't last forever. Let's stop all of the whining.

The Government can't even manage their own house,how can they manage banks? This is socialism.

This guy is dope. If you throw 30 darts at a dartboard, you will normally hit the number you say you are going to hit at least a couple of times. This guy is more often incorrect than correct in his predictions.

Now....if one of them ther not so smart dipstick turnips in D. C. wus to come across "Congress can buy the Federal Reserve for $450 million" in the Congressional records and put Mr B out on his @ss....would not tat be cheaper than tat $700 billion cashing out Wall Street tat Mr P and tat other bald guy is implementing....duh! does anyone red...oops! read anymore....!

So I ask, when then did the FRB and Secy of the Treasury scoop up all the crap (Bear, Countrywide, Wash Mut, Wachovia and then shove them down the throats of the supposedly healthier banks. Do Paulson and Bernanke plan to zip out the shareholders of Citi and BAC with new preferred stock that supercredes everyone? Heading down the wrong road I say.