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menmon
09-17-2010, 02:54 PM
This bill will be law before the end of next week.

This bill is huge for community banks. Unlike TARP that was used to stablize the mega banks that typycially do not lend to small business, this bill will put affordable capital into the hands of small banks that had lost much of their capital due to non-performing commercial real estate loans that had prohibited them from making new loans.

With this injection of affordable capital, small business will have access to credit again that in turn will make jobs.

Kudos to the Democrats!!!!!

Don't you guys think this is news worthy on RFT?

david gibson
09-17-2010, 03:02 PM
This bill will be law before the end of next week.

This bill is huge for community banks. Unlike TARP that was used to stablize the mega banks that typycially do not lend to small business, this bill will put affordable capital into the hands of small banks that had lost much of their capital due to non-performing commercial real estate loans that had prohibited them from making new loans.

With this injection of affordable capital, small business will have access to credit again that in turn will make jobs.

Kudos to the Democrats!!!!!

Don't you guys think this is news worthy on RFT?

sure it is!! we celebrate all the wondrous joys of "recovery summer" every day!

Hew
09-17-2010, 03:12 PM
This bill will be law before the end of next week.

This bill is huge for community banks. Unlike TARP that was used to stablize the mega banks that typycially do not lend to small business, this bill will put affordable capital into the hands of small banks that had lost much of their capital due to non-performing commercial real estate loans that had prohibited them from making new loans.

With this injection of affordable capital, small business will have access to credit again that in turn will make jobs.

Kudos to the Democrats!!!!!

Don't you guys think this is news worthy on RFT?
Paul Krugman and Buzz think you're stupid. ;-)

troy schwab
09-17-2010, 03:15 PM
This law is a crock...... just pumping more money into the financial IV of banks. Here's a news flash for ya...... good companies with good credit, already have funds available to them at the lowest interest rates in recent history. They dont need money..... THEY NEED CUSTOMERS!!!!!! But....... Typical Obama, throwing money at a problem. Any business that says they cant get money right now, its because of credit, or poor books. Do we really want to have small banks investing our money into substandard businesses, which may fail????? Think about it. Waste of taxpayers money...... AGAIN!

dnf777
09-17-2010, 03:16 PM
Paul Krugman and Buzz think you're stupid. ;-)

You read Krugman??

I thought he was left leaning, but I'm not so sure anymore. In any case, he's an interesting feller.

Hew
09-17-2010, 03:29 PM
You read Krugman??

I thought he was left leaning, but I'm not so sure anymore. In any case, he's an interesting feller.

I've got more colorful descriptors for Krugman than "interesting."

I was just pointing out that Krugman (and I assume his faithful RTF acolyte) would think Sambo's partisan shilling to be more than embarrassing in light of the "it's the demand, stupid" thread from yesterday.

ducknwork
09-17-2010, 03:31 PM
What good businessman would really want to borrow money before they think they have the means to repay it? (customers)

Hew
09-17-2010, 03:39 PM
What good businessman would really want to borrow money before they think they have the means to repay it? (customers)
Loans against your receivables are a good/safe example. Loans to finance filling an order. You gotta spend money to make it. ;-)

I dunno, but in my tiny little corner of the world it's not the tightening of credit to small business that hurt as much as the tightening of consumer credit. All the credit in the world won't matter for me if my customers can't get credit.

menmon
09-17-2010, 03:52 PM
This law is a crock...... just pumping more money into the financial IV of banks. Here's a news flash for ya...... good companies with good credit, already have funds available to them at the lowest interest rates in recent history. They dont need money..... THEY NEED CUSTOMERS!!!!!! But....... Typical Obama, throwing money at a problem. Any business that says they cant get money right now, its because of credit, or poor books. Do we really want to have small banks investing our money into substandard businesses, which may fail????? Think about it. Waste of taxpayers money...... AGAIN!

That is not true. A bank has to have capital to make loans.

WaterDogRem
09-17-2010, 03:59 PM
Loans against your receivables are a good/safe example. Loans to finance filling an order. You gotta spend money to make it. ;-)


Sounds like a scary/risky business plan to me. What happens if the order is cancelled after taking your loan? What you describe is not "spend money to make money", but "take debt to spend money to hopefully make money". Great IF that works for you, but I know I'm weird for not believing in having debt in America.

menmon
09-17-2010, 04:19 PM
Everyone assumes that there is no demand on this thread. There is demand for goods and services but credit is still tight mainly because small banks are bouged down with bad real estate loans, therefore, even though they would like to make loans, they can't because it requires capital and loan losses has eaten up their capital. Furthermore, bank examiners are requiring them to put more and more into loan loss reserves thus tying up more of their equity and raising capital in the private sector is very costly and very limit currently.

Someone said that good companies can get money, that is true to a point, but many can't get everything they need thus they are passing on good opportunity.

This is a good bill and good for all, but I know Beck and Rush have already made up your minds on the subject based on the comments so far.

david gibson
09-17-2010, 04:25 PM
Everyone assumes that there is no demand on this thread. There is demand for goods and services but credit is still tight mainly because small banks are bouged down with bad real estate loans, therefore, even though they would like to make loans, they can't because it requires capital and loan losses has eaten up their capital. Furthermore, bank examiners are requiring them to put more and more into loan loss reserves thus tying up more of their equity and raising capital in the private sector is very costly and very limit currently.

Someone said that good companies can get money, that is true to a point, but many can't get everything they need thus they are passing on good opportunity. doesnt matter when the unemployment is officially about 10% and unofficially much much more than that - people aint gonna buy your goods!

This is a good bill and good for all, but I know Beck and Rush have already made up your minds on the subject based on the comments so far.

its real simple to me - i dont care what rush or beck say. the stimulus hasnt worked yet, and everywhere they pour money its a sieve. heard another story today how some untold millions of dollars spent somewhere created 4 or 5 jobs. i dont even listen anymore, its too depressing, comical, and stupid all at once.

but dont forget, this is recovery summer!!

dixidawg
09-17-2010, 04:31 PM
Insight on the struggles of making it as an American small business owner, with Bernie Marcus, Home Depot co-founder.


http://www.cnbc.com/id/15840232?video=1593436488&play=1 (http://www.cnbc.com/id/15840232?video=1593436488&play=1)

menmon
09-17-2010, 04:31 PM
its real simple to me - i dont care what rush or beck say. the stimulus hasnt worked yet, and everywhere they pour money its a sieve. heard another story today how some untold millions of dollars spent somewhere created 4 or 5 jobs. i dont even listen anymore, its too depressing, comical, and stupid all at once.

but dont forget, this is recovery summer!!

Don't forget that the other 90% are still employed and buy goods and services.

Do you know the difference between a reccesion and a depresion? Answer: A reccession is when your neighbor is out of work and a depression is when you are. I realize this is not very sensitive, but my point is most americans are still working and their demand will fuel more jobs.

dnf777
09-17-2010, 04:34 PM
Loans against your receivables are a good/safe example. Loans to finance filling an order. You gotta spend money to make it. ;-)

I dunno, but in my tiny little corner of the world it's not the tightening of credit to small business that hurt as much as the tightening of consumer credit. All the credit in the world won't matter for me if my customers can't get credit.

If you carry your example one step further, maybe if consumers had not been so credit happy in the past decades, much of the foreclosures and toxic assets would not be a problem today. I agree with using credit in certain cases, such as for necessities, but boats, BMWs and plasma tvs are not necessities in my book. There's plenty of blame to go around in our current credit situation.

Franco
09-17-2010, 04:34 PM
Everyone assumes that there is no demand on this thread. There is demand for goods and services but credit is still tight mainly because small banks are bouged down with bad real estate loans, therefore, even though they would like to make loans, they can't because it requires capital and loan losses has eaten up their capital. Furthermore, bank examiners are requiring them to put more and more into loan loss reserves thus tying up more of their equity and raising capital in the private sector is very costly and very limit currently.

Someone said that good companies can get money, that is true to a point, but many can't get everything they need thus they are passing on good opportunity.

This is a good bill and good for all, but I know Beck and Rush have already made up your minds on the subject based on the comments so far.

The small well-run banks have plenty of money to lend. It is the poorly run banks that need the bailout money at the tax payers expense. The current administration likes to reward failure at the expense of the prudent.

ducknwork
09-17-2010, 09:44 PM
Don't forget that the other 90% are still employed and buy goods and services.

Do you know the difference between a reccesion and a depresion? Answer: A reccession is when your neighbor is out of work and a depression is when you are. I realize this is not very sensitive, but my point is most americans are still working and their demand will fuel more jobs.

But the other 90% are scared that they will soon be on the 10% side! Anybody with half a brain should be reducing debt and trying to make sure that they will be financially safe if they find themselves suddenly unemployed. That would be the smart thing to do, not spend money on things that aren't considered necessities.

luvmylabs23139
09-17-2010, 10:44 PM
But the other 90% are scared that they will soon be on the 10% side! Anybody with half a brain should be reducing debt and trying to make sure that they will be financially safe if they find themselves suddenly unemployed. That would be the smart thing to do, not spend money on things that aren't considered necessities.

Duck is right. While we don't have any debt other than our mortgage, we have deleted all non esential spending and are increasing our savings every month just in case anything happens.

dnf777
09-17-2010, 10:48 PM
But the other 90% are scared that they will soon be on the 10% side! Anybody with half a brain should be reducing debt and trying to make sure that they will be financially safe if they find themselves suddenly unemployed. That would be the smart thing to do, not spend money on things that aren't considered necessities.


It shouldn't take the worst recession since '39 to induce those basic practices. There was a time when very few had credit cards, and ALWAYS did their best to maintain a safety net, just in case. That's sound financial management, not just crisis mode.

Hew
09-17-2010, 11:24 PM
Sounds like a scary/risky business plan to me. What happens if the order is cancelled after taking your loan? What you describe is not "spend money to make money", but "take debt to spend money to hopefully make money". Great IF that works for you, but I know I'm weird for not believing in having debt in America.
I reckon that's why there's more than one flavor of ice cream. Anyone who considers taking a loan against receivables as scary/risky business isn't "weird" per se, but to me, that's just overly cautious and plain ol livin' scared. You've never had a mortgage?

I'll take my risks with my money and expect the govt. to mostly stay out of my way and not tax too much of the money my risked capital and hard work produced. On the flip side, I do not expect the govt. to come to my rescue should my risk tank. When much is risked, much is rewarded; good or bad. When the govt. interferes with the reward system (taking from those who prosper and propping up those who fail) it screws the game up.

depittydawg
09-18-2010, 02:49 AM
This bill will be law before the end of next week.

This bill is huge for community banks. Unlike TARP that was used to stablize the mega banks that typycially do not lend to small business, this bill will put affordable capital into the hands of small banks that had lost much of their capital due to non-performing commercial real estate loans that had prohibited them from making new loans.

With this injection of affordable capital, small business will have access to credit again that in turn will make jobs.

Kudos to the Democrats!!!!!

Don't you guys think this is news worthy on RFT?

I have to disagree. I don't think it will create jobs. Most business' already have access to capital if they want it. The problem is demand, not capital. I own a small business. I can get all the loans I want. I could have secured loans anytime over this recession. But I'm not going to go into debt, and I'm sure not going to go into debt to hire somebody when there are no customers. Demand is the name of the game. Always will be.

ducknwork
09-18-2010, 01:50 PM
It shouldn't take the worst recession since '39 to induce those basic practices. There was a time when very few had credit cards, and ALWAYS did their best to maintain a safety net, just in case. That's sound financial management, not just crisis mode.

Shoulda, woulda, coulda...didn't.

Not everyone has enough foresight (or sense) to think ahead to rough times when things are good.

ducknwork
09-18-2010, 01:51 PM
I have to disagree. I don't think it will create jobs. Most business' already have access to capital if they want it. The problem is demand, not capital. I own a small business. I can get all the loans I want. I could have secured loans anytime over this recession. But I'm not going to go into debt, and I'm sure not going to go into debt to hire somebody when there are no customers. Demand is the name of the game. Always will be.

This may be the very first time I have ever agreed with you 100%.

duckheads
09-20-2010, 01:51 PM
I have to disagree. I don't think it will create jobs. Most business' already have access to capital if they want it. The problem is demand, not capital. I own a small business. I can get all the loans I want. I could have secured loans anytime over this recession. But I'm not going to go into debt, and I'm sure not going to go into debt to hire somebody when there are no customers. Demand is the name of the game. Always will be.


I guess there is a first for everything. I have to totally agree with the above quote as I am in the same situation.