How the Banks Screw You...

[SPECTRE1]

How the 1% get wealthy and banks screw you:

1. They establish separate legal entities such as a corporation or LLC that shields them from liability such as bankruptcy.

2. The weathly gain access to capital such as loans from the bank. The bank secures the money from the deposits that are made by the 99%.

3. Even though your money is at risk, you are not provided any substantial return from this loan that is made to this legal entity called a corporation that shields the assets of the wealthy from failure.

4. The taxpayer and depositor (you) pays deposit insurance to the bank indirectly, FDIC or secondary mortgage market, that will take over the bank if the loans go bad and causes failure. Again, you assume the risk and/or pay money for deposit insurance for loans that are made which provide almost no return in interest.

5. Upon receipt of the funds from the loan, the business owner sets up shop and begins to produce their product.

6. If they succeed the capital that you risked is paid back and you get almost nothing (or deficit from charges and overdraft fees). If they fail, they simply walk away with millions of dollars in salary stashed in their bank accounts. Their separate legal entity files bankruptcy and their personal assets are protected.

7. The costs of the deposit insurance program is paid by you through low interest rates, fees, and other mechanism. However, the money for this program should come 100% through the interest rate on the loans that are made and not the depositor. The depositor does not cause their money to become unavailable due to default, it is the borrower that creates the risk. Over 10 years, $150 billion dollars is paid by the banks that gets passed on to depositors.

8. Prior to the FDIC and the Great Depression, depositor assumed an enormous risk of default by borrowers indirectly, yet were paid a pittance in interest rate. The bank pocketed the money that you provided, while the borrower made all kinds of money off of your 'investment'.

A perfect example is Fisker Automotive, Solyndra, or the real estate speculators. The taxpayers and depositors provide a loan and risk capital. If this company succeeds, they get super rich off the money that you risked to them as a taxpayer and/or depositor. If they fail, they walk away with their high salaries and their personal assets are protected. You get nothing if they win, and assume the loss if they go belly up.

Instead of charging the banks for the deposit insurance program, the FDIC should impose a charge on the borrowers. The FDIC should go to the borrowers and state the following:

Because you are using money from depositors, in the event of default, which may cause the bank to be unable to meet withdrawal requests and cause systemic panic, you will have to pay a surcharge based on the balance of your loan.


Billions of dollars of wealth has been stolen from depositors, rather than charged to the borrower. Last time I checked, my deposit does not cause banks to fail.

 

[SPECTRE1]

The way this deposit insurance program is setup does not look right. It is assessed based on the amount of deposits at the bank, however, it should be assessed against the loans that are given out.

Again, deposits don't create the risk, it is the default on the loan that cause banks to fail. This scam has being going on for years probably costing billions of dollar.

Is the bank charging higher swipe fees that get passed on to you to recover the deposit insurance costs?

Is it overdraft fees?

Monthly Service fees?

Cashier check fees?

This costs is comingled with other bank activity and could easily be passed on to depositors rather than the borrower.



Donald Trump or some other real estate speculator goes into the bank and gets a loan for 8%, rather than 6% under the old system. There is a two percent FDIC surcharge tacked onto his loan, that reduces his profit.

The depositor only has to pay $2 service charge fees rather than $20. The swipe fees have been reduced to retailer which lower the costs of goods. The overdraft fees and teller fees have been virtually eliminated.

 

[Cruise]

In principle, I agree with everything you are saying... EXCEPT,

in American-style banking, saving and lending are two separate functions.

In fact, saving is not really saving (under the legal definition) when it comes to banking.

And, lending is not really lending (under the legal definition) when it comes to banking.

That is a big reason they get away with all the shit that they do.

Deposit insurance, TOO BIG TO FAIL, taxpayer-funded bailouts, the corporate shield, lack of transparency have all been known failures of American-style banking for at least 100 years.

It is just new to this generation because most of the people alive today were never taught nor trained in all the frauds and scams that banks pull on the public.

In fact, the Federal government does not want an informed and knowledgeable public to know/understand how the banks are used to extract their excess wealth for the rich and corporations to use for their own purposes.

With American-style banking, unless you have access to those credit lines, you are basically a nobody.

 

[SPECTRE1]

The bank makes plenty of money off of you from swipe fees, monthly service charges, ATM charges, and overdraft fees; without it being loaned out.

You go into a bank, the FDIC signage suggests that this is a benefit provided to you which you should pay for, we are protecting your deposit when it is actually something between the borrower and bank.

I utilize the bank to store my money and make it accessible, if I wanted to invest in debt instrument, I can go to my brokerage. Now if the bank wants to make loans from that money, and ensure they are able to meet all withdrawal requests, than the responsibility is between the bank and the borrower, not me.

 

[bigirl]

FYI, anyone can open an LLC and buy your house, car and anything else through the LLC so nobody can touch it.

 

[SPECTRE1]

FYI, anyone can open an LLC and buy your house, car and anything else through the LLC so nobody can touch it.

You create an LLC, transfer your assets to the LLC that would probably create a tax liability for the LLC. I might look into it.

 

[SPECTRE1]

http://www.fdic.gov/news/news/financial/2012/fil12033.html

It looks like the federal government is instructing the banks to recoup the money from fees or general revenue from depositors. There is no mention of borrowers at all.

This is highly discriminatory due to the fact that home ownership rates is 40% for blacks and probably 90% for whites. Whites receive most of the business loans. Now you basically take their credit risk and dump it onto the poor or limit their access to the banking system with high deposit requirements. They are probably hitting businesses with higher swipe fees. Forget that, these real estate speculators on these late nite TV shows need to pay for this garbage.



It is like taking somebody that rides the subway and does not own a car, and charging them for car insurance! What risk do I pose for walking around on the street and riding the subway? The probability that a depositor will cause a bank to fail is zero percent...There are millions of people at check cashing places for no reason.

Over 10 years, you are looking at $75-$150 billion dollars from FDIC assessments that the banks have been instructed by the FDIC to recoup from depositors.

COINTELPRO VS UNITED STATES

I will keep you posted on its status, there is going to be a class action against the government for this garbage.

“fucking sue this motherfucker,”
“go ahead with the plan with the lawsuit.”
“Alright, we’re gonna go ahead with the plan with the lawsuit,”

 

[Lamarr]

2 points;

1) The reason economics seems so complicated is that no-one is addressing the basics of money creation before jumping into the 'mechanics' of money circulation.

2) ALL money is loaned into existence. The money used to pay debt is destroyed. The money used to pay the interest on debt has to ALSO be loaned into existence.

Citizens anger is misdirected at banks rather than the system! Dishonest money breeds a dishonest society

 

[SPECTRE1]

Status Update:

You have to shut this garbage down before it gets out of hand, it probably going to be $70-150 billion plus a markup in costs that you know the banks would love to stick low income depositors. It reminds of the sub prime loans that banks were pushing out to the minority community. Even fronted up a black CEO to make it look legit and not racist.

I contacted a class action lawyer that won a big settlement against Bank of America for their overdraft policies. I think it is something the banks can use, they were induced to charge these fees due to advisories from the FDIC that was ill advised. They would have recouped these costs from borrowers, rather than depositors.

 

[SPECTRE1]

Word is getting out about this practice, change is being made. Due to the surveillance I am under, it is difficult to do anything or get media attention on this matter. All emails are intercepted and blocked. Teams of vehicles follow me daily. I am being censored and blocked by the government/corporations.

In any event, stay tuned for my BGOL exclusive regarding the financial crisis in April. Yes, exclusive, content you can only find on BGOL; I will bypass the government/corporate censors to provide you real content. I will explore what really caused the collapse that the media has not disclosed to the public or have the capability to understand.

The banks have been giving crappy mortgages for years - big deal. Based on my analysis and observation working in a bank briefly, this problem should have been fixed. It is hampering economic activity in the U.S. and in many countries. I explore what needs to be done and what the government has failed to do.

The government has not repaired the levies, another financial hurricane could cause a major flood.

 

[Sango]

Looking forward to that April drop.

 

[Sango]

Bump

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[SPECTRE1]

Bump

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<iframe src="http://www.indiegogo.com/project/343269/widget/2482005" width="224px" height="486px" frameborder="0" scrolling="no"></iframe>

Tried to start a campaign to fund the project. I need to go out and promote. Unless it is some useless gadget, people won't fund your project, even though this has more impact to their lives.

Could not get any media coverage on the FDIC fees that we should not pay.

 

[Sango]

Word is getting out about this practice, change is being made. Due to the surveillance I am under, it is difficult to do anything or get media attention on this matter. All emails are intercepted and blocked. Teams of vehicles follow me daily. I am being censored and blocked by the government/corporations.

In any event, stay tuned for my BGOL exclusive regarding the financial crisis in April. Yes, exclusive, content you can only find on BGOL; I will bypass the government/corporate censors to provide you real content. I will explore what really caused the collapse that the media has not disclosed to the public or have the capability to understand.

The banks have been giving crappy mortgages for years - big deal. Based on my analysis and observation working in a bank briefly, this problem should have been fixed. It is hampering economic activity in the U.S. and in many countries. I explore what needs to be done and what the government has failed to do.

The government has not repaired the levies, another financial hurricane could cause a major flood.

WTF you got people following you around and what! ? Ummm

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[SPECTRE1]

WTF you got people following you around and what! ? Ummm

Sent from my SPH-L720 using Tapatalk

Yes getting vehicle attacked and followed, it is crazy. Had to leave the area to get a break. You went outside and there was a white car that would drive by everyday!

Computer intrusions stealing data, I had to go old school to write. Trying to get my resources together to live in another country that is not an economic colony of the US.

There is more shit going on that is criminal that I don't want to be a part of.

 

[Shitty Drawz]

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