Posted by
grad_1986 on Saturday, May 09, 2009 12:20:49 PM
Let’s say your bank with whom you have your credit card calls you up and tells you that they are concerned about you paying your bills. They want to “analyze” your financial situation to determine your ability to be financially stable. Upon running their “test” (which you never get to see how it works) they determine that you are in need of a line of credit from your mortgage. You say you don’t need any money and you can weather whatever financial storm that comes your way by cutting back on your spending. But instead of going away, your bank sends you a check and a bill saying your HAVE TO take the money or they will foreclose on your house. You ask if you can send the money back, but they say that according to the terms of the loan (which you are not required to sign) you cannot pay it back early without significant penalties.
The scenario I have spelled out is EXACTLY what the Obama administration is doing today with the bank “stress tests”. The federal government, which has never run a successful bank (remember the Congressional bank that failed because too many members bounced checks ?) of course knows all there needs to be known for running a bank and what can be done under bad economic times. They are using these stress tests to gain larger foot-holds in more banks. They will undoubtedly find so called “weaknesses” and will all to quickly shove money in their pockets demanding further control of their business.
To me it will only be a matter of time before ALL the banks will be owned and operated by the federal government. This is what the democrats have been drooling over for years. For with the bank system comes an almost unlimited power to control virtually every aspect of our economy and our lives.