Why do so many people hate big banks?

I have personally spoken with clients who have records showing that they have made ALL of their mortgage payments on time, yet the bank foreclosed on their home and then filed an unlawful detainer case to kick them out of their home. In two cases, the bank continued to kick the people out of the house even when the mistake was brought to its attention. We have found that, quite often, no one at the bank cares. Sometimes, not even the attorney representing the bank in court cares that there has been a terrible error made by the bank. It sounds unbelievable, but it's true. Where is the evidence that big banks break their promises, deceive mortgage customers, lose paperwork and otherwise engage in despicable behavior? Start reading this list at Consumeraffairs.com. This list contains complaints against one bank: Bank of America. Grab yourself a cup of tea before you start, because it's going to take you a long time to get through this list.

Continue ReadingWhy do so many people hate big banks?

Majestic sunset over South St. Louis

I'm a big fan of looking at clouds. While I peddled my bicycle home tonight, from downtown St. Louis to my home in the Shaw Neighborhood, I was repeated stunned by the beauty of the sunset. People oooh and ahhh at fireworks, but I don't believe any fireworks show comes close to what I saw tonight. No need to write any more about it. Instead, I'll simply paste in the gallery below (if you don't see the gallery, it's because you are on the home page--in that case, just click the title of this post and you'll see the gallery). None of these photos have been retouched in any way, other than cropping.

Continue ReadingMajestic sunset over South St. Louis

Is it Spam or is it Poe?

I came back from a weekend getaway, and my inbox had a large number of messages from some group I'd never heard of, the Nation of Change. I was suspicious, especially given my recent unsolicited addition to the Christian Coalition mailing list. Also they were using an email contact that has been dormant for a decade that they could only have found by scanning whois data or buying some old spammer contact lists. I was curious enough to read one of their messages. It appeared to be some sort of addled parody of a liberal call to action newsletter. I immediately did some Googling to try to confirm my suspicion that it was a conservative group attempting to make liberals seem a) Loonier than thou, and b) Abrasive and annoying by pushing subscriptions on undesiring readers. The clearest description I found was, "Nation of Change", who are you and why are you spamming me? at the Daily KOS. In essence, this organization is a fairly new web site with stealthed contact information. They claim to be a legitimate registered not-for-profit, but one cannot look up their bona fides anywhere to confirm it. Although they don't appear to break any laws in their published documents, they do violate several BBB standards. Read the KOS article for more details. But I could not actually confirm that this is a conservative group posing as liberal in order to sow dissension and disaffection. As with religion and Poe's Law, it can be hard to tell sincere political extremism from parody. But this one trips my irony meter.

Continue ReadingIs it Spam or is it Poe?

Since we need to amend the Constitution anyway . . .

Perhaps we ought to follow the example of the government of Taiwan, and carve out two new branches of government.   In addition to three branches of government matching the American branches of the Executive, Judicial and Executive, the Taiwanese have two additional branches of government: 1. The Control Yuan is an investigatory agency that monitors the other branches of government . . . No member of the Control Yuan can hold another public office or profession while serving in the branch (according to Article 103 of the constitution), and members must be able to perform absent of partisan control or influence.  Wouldn't it be helpful to have such an independent branch of government to root out corruption and prohibit pork? 2. The Examination Yuan is in charge of validating the qualification of civil servants in the Republic of China.  Wouldn't it be interesting to see whether which of the candidates currently campaigning for President of the U.S. could pass a civil service test or, better yet, the U.S. Foreign Service Examination.

Continue ReadingSince we need to amend the Constitution anyway . . .

Trillions in secret loans by the Fed reveal massive welfare for too-big-to-fail banks

Thanks to incorruptible Senator Bernie Sanders, who describes himself as a democratic socialist, the Federal Reserve has been forced to reveal information regarding loans that it tried hard to keep secret.   Here's what we are finding, according to IPS:

The Fed provided loans to JP Morgan Chase bank to acquire Bear Stears, a failed investment firm; provided loans to keep American International Group (AIG), a multinational insurance corporation, afloat; extended lending commitments to Bank of America and Citigroup; and purchased risky mortgage-backed securities to get them off private banks’ books. Overall, the greatest borrowing was done by a small number of institutions. Over the three years, Citigroup borrowed a total of 2.5 trillion dollars, Morgan Stanley borrowed two trillion; Merryll Lynch, which was acquired by Bank of America, borrowed 1.9 trillion; and Bank of America borrowed 1.3 trillion.
I'd call it welfare for the too-big-to-fail. Phase One of the bailout was to address a legitimate liquidity crisis. Phase Two went far beyond this, and was kept secret because the public would never have consented to the above actions Here's how Economist Randall Wray sums up Phase Two:
"But then it turned to phase two, which was to try to resolve problems of insolvency by increasing Uncle Sam’s stake in the banksters’ fiasco. That never should have been done. You close down fraudsters, period. The Fed and FDIC (Federal Deposit Insurance Commission) should have gone into the biggest banks immediately, replaced all top management, and should have started to resolve them," Wray said.

Continue ReadingTrillions in secret loans by the Fed reveal massive welfare for too-big-to-fail banks