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View Full Version : BofA repays all of government bailout funds



Roger Perry
12-09-2009, 06:44 PM
CNBC: Citi to announce plans to repay TARP money as early as Thursday


CHARLOTTE, N.C. - Bank of America Corp. said Wednesday it has repaid the entire $45 billion it owed U.S. taxpayers as part of the Troubled Asset Relief Program.
Also Wednesday, CNBC reported Citigroup Inc plans to pay back TARP by raising money in an equity offering that could be announced as early as this Thursday, citing sources.
Bank of America, which announced its agreement with the U.S. Treasury to repay TARP last week, funded the repayment through a combination of cash on hand and the sale of $19.29 billion of securities that would convert into common stock.
http://www.msnbc.msn.com/id/34350133/ns/business-us_business/

dnf777
12-09-2009, 06:52 PM
That scale of economics is way over my head, but from a simple point of view, it bothers me that we the taxpayers loaned them a wad of cash when they needed it. Now that they've used that money in investment schemes successfully and have plenty, they won't lend it back to small businesses to help grow the economy. Much of their cash assets are being invested in foreign currency at huge profits, at our expense, in a way.

Franco
12-09-2009, 08:11 PM
There is a story in the WSJ today about BOA. Seems like the took the TARP money and instead of freeing up loans as intended, they invested the TARP money in Foreign Stock markets. They made their money and are repaying thier loan.

I hope the interest rate we charged them was in the 20% - 40% range. As a tax payer, if I am loaning $ to a bank to invest in Foreign Stocks, I want more than a 3% return!

Raymond Little
12-09-2009, 08:42 PM
There is a story in the WSJ today about BOA. Seems like the took the TARP money and instead of freeing up loans as intended, they invested the TARP money in Foreign Stock markets. They made their money and are repaying thier loan.

I hope the interest rate we charged them was in the 20% - 40% range. As a tax payer, if I am loaning $ to a bank to invest in Foreign Stocks, I want more than a 3% return!

ALL ABOUT REPAYING THE DONOR'S...........OBAMOS THAT IS

JDogger
12-09-2009, 08:47 PM
ALL ABOUT REPAYING THE DONOR'S...........OBAMOS THAT IS

Yeah, you're drinking. Aren't cha?

JD

Henry V
12-09-2009, 10:11 PM
That scale of economics is way over my head, but from a simple point of view, it bothers me that we the taxpayers loaned them a wad of cash when they needed it. Now that they've used that money in investment schemes successfully and have plenty, they won't lend it back to small businesses to help grow the economy. Much of their cash assets are being invested in foreign currency at huge profits, at our expense, in a way.
What's good for the banks is good for all of us. The money will trickle down to us the record is clear. The banks would not act in such a way that is bad for America. The same can be said for corporations, especially the large ones. Cut their taxes, exempt them from regulation, remove any barriers to their profits and all will be great. Geez, what more does anyone need to know about economics? You really are over thinking this.;)

blind ambition
12-09-2009, 10:24 PM
There is a story in the WSJ today about BOA. Seems like the took the TARP money and instead of freeing up loans as intended, they invested the TARP money in Foreign Stock markets. They made their money and are repaying thier loan.

I hope the interest rate we charged them was in the 20% - 40% range. As a tax payer, if I am loaning $ to a bank to invest in Foreign Stocks, I want more than a 3% return!


Are you suggesting we control the way a bank or any other corporation makes profit!? Why, why, THAT'S SOCIALISM or worse COMMUNISM! Damn, did I just hear an iceicle fall in Hell?

ducknwork
12-10-2009, 06:32 AM
they won't lend it back to small businesses to help grow the economy.

In order to borrow money, you need to show the ability to pay it back. Last I checked, this is not the greatest time to start a business. People out of work=no money to spend. No money to spend=businesses hurting for business. Businesses hurting for business=difficulty paying creditors. Why would a bank choose to lend money if they feel as though they won't be able to get it back?

I know it is a catch 22. People are unemployed, so they can't support businesses as they once did. Businesses can't hire people unless they have enough profit coming in to justify it, but the profits won't come unless people have money to spend, but they won't have money to spend unless they have a job, but they won't have a job unless they get hired, but they won't get hired unless the company makes money, but the company won't make money unless they have customers, but they won't have customers unless people spend money, but they can't spend money unless they have a job....whew. I am out of breath...:p

cotts135
12-10-2009, 06:58 AM
The underlying problem still remains. These investment banks continue to invest in unregulated and secretive markets. In effect it's like going to a casino and gambling but the only problem is that when you or I go we assume all the risk. What we have here are company's taking all the profit and none of the risk. Our government is continuing to perpetuate this when we listen to guys on Obama's economic team such as Tim Geithner and Larry Summers, both of whom are closely tied to Wall St. Time to regulate these investements by taking down the curtain that conceals these risky investments and to make sure that these company's do not get to big to fail.

road kill
12-10-2009, 07:24 AM
Yeah, you're drinking. Aren't cha?

JD


Maybe, but at least he will be sober in the morning, you'll still be a liberal.

Your excuse??:D

Goose
12-10-2009, 07:59 AM
So far this year 130 banks have gone down and the list of 'troubled' banks is somewhere north of 500. The FDIC is bankrupt, the banking industry is bankrupt and the FED continues to fight being audited. There are billions and trillions of dollars of worthless mortgage backed securities hidden from sight and marked to fantasy and B52 continues to print (counterfeit) money as fast as he can. The national debt blew through $12 trillion a few weeks ago, the dollar is worthless and Obongo and the democrats in power are spending so much money (that we don't freaking have) that even Bush is blushing.

And we're giddy over this story about the banksters at BofA? Get real folks.

We live in Cuba now.

Steve Amrein
12-10-2009, 08:19 AM
As a small business I would not even borrow money right now even if they would lend it. I was watching some msm (news?) program and they stated that BoA did not want to have to worry about restrictions on pay and how they invested. BoA likely made a good portion of their money on raised CC intrest rates and fees. All of my customers and vendors say they could not even get any money from the banks. The bailout money should have gone to business firms that actually make stuff and hire people.