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View Full Version : Obama set to extend bank bailout fund


rockdawg21
12-09-2009, 12:12 PM
So it's STILL a good idea to continue investing in bad business? With the way the government invests in failing businesses, apparently, I should be investing my money into Enron as well. WTF?!

ONLY no more than 560 billion is going to be used from the TARP? Wow, that's such a small amount to be helping, why not just make it a cool trillion while we're at it?

http://www.msnbc.msn.com/id/34341033/ns/business-economy_at_a_crossroads

Obama set to extend bank bailout fund
CNBC: $175 billion in TARP funds will also be dedicated to deficit reduction

NBC News and news services
updated 4 minutes ago

WASHINGTON - The Obama administration plans to announce on Wednesday that it intends to extend the life of the $700 billion financial bailout fund until next October, officials said Tuesday.

CNBC also reported that $175 billion in funds from the Troubled Asset Relief Program (TARP) would be dedicated to deficit reduction. The amount represents the total the Treasury expects to be repaid by banks through 2010.

One official told Reuters that the administration was expected to pledge to use no more than $560 billion from the fund. Another said the plan would be to tap the program to help homeowners secure mortgages through the government's housing program and to free up credit for small businesses to spur job growth.

Both officials requested anonymity.

The financial rescue program, which has been used to pump money into banks, insurer American International Group and troubled automakers, was approved by Congress in October 2008 at the height of the credit crisis.

It would expire on December 31 unless a decision is made to extend it.

The law that established the TARP fund gives the administration the discretion to decide whether it should be extended, but it limits any extension to October of next year.

'Very damaged'
Treasury Secretary Timothy Geithner told Congress last week that much of the $700 billion lawmakers had authorized to salvage the banking system would not be needed, but that it would be a mistake to shut down the program entirely.

"If you look at the U.S. financial system today, there are parts that are still very damaged," he said, citing the housing sector and problems small businesses are having in accessing credit.

Opposition Republicans have accused the administration of wanting to use the bailout program as a job-creating "slush fund."

"There has rarely been a less loved or more necessary emergency program than TARP, which as galling as the assistance to banks may have been indisputably helped prevent a collapse of the entire financial system," President Barack Obama said on Tuesday.

Soaring unemployment threatens to eat into the majority Obama's fellow Democrats hold in Congress when voters go to the polls in mid-term elections next November.

To reduce the nation's 10 percent jobless rate, Obama on Tuesday proposed small business tax cuts and energy efficiency rebates, among other steps. This comes on top of a plan outlined in November to provide capital to community banks that lend to small businesses.

Obama is set to meet with Democratic and Republican leaders of Congress at the White House on Wednesday to promote his jobs proposals.

At the end of November, $560 billion had been allocated from the TARP program, the same amount the administration is now expected to declare as a cap.

KENTUCKYREDBONE
12-09-2009, 01:50 PM
So much for the Democrats hating fat cat businessman! Or do they just love the ones that fail? Either way I was against it when Bush did it and I'm against it when Obama does it to!

NateR
12-09-2009, 02:47 PM
So is this Obama admitting that his bailout from last February was a gigantic waste of money? Because wasn't that supposed to create thousands or millions of new jobs?

Silverback
12-09-2009, 03:01 PM
So is this Obama admitting that his bailout from last February was a gigantic waste of money? Because wasn't that supposed to create thousands or millions of new jobs?

Even after the tattle tale incident, I must agree, waste of money and very few job's.:stirthepot::stirthepot::stirthepot:

Tyburn
12-16-2009, 07:49 PM
You shouldnt be bailing banks out any further. What The Bush Administration did was enough to right the wrong of the Sub Prime...

Neezar
12-17-2009, 01:31 PM
So is this Obama admitting that his bailout from last February was a gigantic waste of money? Because wasn't that supposed to create thousands or millions of new jobs?

Well, I think Dave said it saved his life. So, not a total waste. lol

Tyburn
12-17-2009, 04:26 PM
Well, I think Dave said it saved his life. So, not a total waste. lol

Nothing Obama has done has saved the world. What saved the world was the original bank bail out of Wallstreet done right at the end of The Bush Administration....but thats where it should have ended.

So get it right Denise :ninja:

Neezar
12-17-2009, 05:47 PM
Nothing Obama has done has saved the world. What saved the world was the original bank bail out of Wallstreet done right at the end of The Bush Administration....but thats where it should have ended.

So get it right Denise :ninja:

I stand corrected.

Tyburn
12-17-2009, 06:11 PM
I stand corrected.

:laugh: