Reply #65: buy me a hummer [View All]

[bstender]

take another $850 Billion of bank consumer debt off the balance sheets, refinancing it as individual debt to the federal government at 7-8%.

What? so i get to pay for people who ran up their credit cards? how is that fair? i work like a dog everyday to keep my family fed and i don't run up my credit cards because it may jeopardize that job#1. but i know that many people think i am a sucker. you can run up your card and if your debts get too bad, you can just default and no problem. your refi is the same thing writ large. i get to pay for all of these other people who went ahead and charged the new playstation?

(btw, "perceived risk" is pretty clear perception in case you havent looked around. when the last bubble was inflating, it was easy for banks to make truckloads of money, now they have to do it the old-fashioned way.)

but this is the hilarious line: "And, most of all, there's a "wealth effect"... many people would feel less under the gun and more open to new spending." what about not "feeling" your way through the problem and just doing the math, it is not that hard. and there's people who will help with the arithmetic if it is too confusing. the formula is "money coming in" - "money going out". People have similar problems with the weight management formula. it is a national disease of lazy dreaming and wanting. (and of course, expecting the big govt. tit to come along make it all better)

seriously, WTF? who gets to pay for all of this "refi"? as long as it's "someone else" it is all fine and dandy?