Do banks want money or is it something else they want?
What does a bank get when it lends money?
1. Principle and Interest on the money they lend, plus they can lend 10 times the money they actually have.
2. They put chains of bondage on the people who owe them money. They become the master and the borrower becomes their slave.
We saw a movie where the banks want to lend money to a group that will cause a civil war. The group’s leader says his group has no way to repay the bank for the money it needs to arm his soldiers. The banker replies by saying something like this: The money isn’t what we want; it is the control and power that we will gain by the debt that the people and nation will incur when they come to us for money to purchase items to protect themselves. We will take away their freedoms and put them in bondage to us.
Whoa! Whoa! Whoa! (Not all Whoa’s are created equal!)
If banks are given money by their customers, the Federal Reserve allows them to lend out ten times what they are given. Example: You give a bank $1,000 by putting it in a savings account. The Fed allows the banks to lend $10,000. Where does the other $9,000 come from? It really doesn’t exist. It comes from the power of the Fed to allow the bank to lend out ten times what they actually have. It also comes from the faith of the people who are borrowing, that the money they borrow can actually be use to buy something. The borrower also knows the bank has the right to collect their money, repossess the item you used their money to buy, take you to court in order to get it, brand you as a bad risk, and/or to put you in jail.
So let’s say they are given $1,000 by a rich man. They will want to lend it out immediately. How much do they get back, if the charge 5% yearly interest? Remembering they can lend ten times what the rich man gave them.
10 X 1,000 = $10,000
.05 X 10,000 = $500
Where do they make the most money? Not from the interest!
Their return from the $1,000 dollars given to them by the rich man, if they lend it out to others is $10,500. That is, if everyone they lent the money to, pays them back in one year. They now have $10,500 to lend out. But now, we times that by 10 = $105,000 to lend out. And on it goes.
Are they hurt if one of the ten people fails to pay them back? A little bit. The bank takes the borrower to court, repossesses the item, marks the borrower as a bad credit risk, so that person can’t get any more loans from any bank. And the bank makes “Only” 9.5 % instead of 10.5% on their money. They claim in court they “Lost” $1,000. Did they really loose money? No, they just didn’t make as much as their greedy little minds wanted to or expected to.
If we want in on part of the action and we have some extra money we want to put into the bank to collect interest, what rate of return do they give us? .03% is the going rate today. How does that compare to what the banks are getting? (Banks get) 10.5 divide that by .03 (what they give us) = 350. In other words they get 350 times as much as they are willing to give us, who actually have the money. No wonder they come up with slogans such as, “We haven’t forgot who keeps us in business”!
This sounds like greed to me, or maybe even a conspiracy! And now they turn around and want us to bail them out? The bank had no mercy on the borrower that failed to pay them back. The bank wouldn’t bail the borrower out in any way, shape or form. It would seem anyone that is so stupid that they can’t make a living earning 350 times the rate they are willing to pay, doesn’t even deserve a bucket! If they won’t help themselves bail out of their mess, should we feel sorry for them or should we just start over with a new bank that has smarter people?
Just stop and think what they are asking the tax payers to do. They want $250,000,000,000, (250 Billion Dollars), from you and me. They turn around and lend out ten times that amount, (7 Trillion dollars). I’m sure they are laughing their heads off. Laughing “All the way to their Bank”!
Just take a minute and Google “bank bail out list”. Take note of the last name on the list. Not that the list stops there. The list is so long my finger got cramps scrolling down it!
Bank bailout: Who's getting the money
The Treasury Department is in the midst of doling out $250 billion to financial institutions nationwide as part of the $700 billion bailout plan. Here's a list of the banks that have received checks so far.
Date of Capital Injection
Wells Fargo & Co.
JPMorgan Chase & Co.
Bank of America Corp.1
Goldman Sachs Group Inc.
Bank of New York Mellon Corp.
State Street Corp.
Capital One Financial Corp.
Regions Financial Corp.
SunTrust Banks Inc.
Marshall & Ilsley Corp.
Northern Trust Corp.
Salt Lake City
books read in 2015
1 year ago