The Power of Bank of America

[Donnachaidh]

http://www.addictinginfo.org/2011/08/23/the-power-of-bank-of-america/

Image from http://obama.net/bank-of-america-puts-foot-down-foreclosures-on-freeze/

Fortune reports that the U.S. Government gave Bank of America a $500 million bailout last week. According to an audit last month, the Federal Reserve gave $16 trillion worth of emergency loans within a 3 year span. Much of it went to foreign banks, but Bank of America received $1.3 trillion. Bank of America is one the major lobbiers of the Federal Reserve in a list that also includes: American Express, the American Banker Association, GE, Goldman Sachs, Charles Schwab, Dollar General, Ebay, JP Morgan, Ford, General Motors, AFL-CIO, and the NAACP. There are also reports that some states are trying to give banks immunity for their behavior that led to the housing crisis and financial crash. The big banks that profit off mortgages spent $8 million in political contributions since the start of ’09.

Bank of America is also laying off 3,500 people. There are currently about two million people who work at banks in the United States, which is less than in 2008. Of course, the actual GDP produced by the banks is the same as it was before the financial crisis.

Bank of America spent about $4 million on lobbying in 2010. They were interested in almost 100 bills. They are one of the more notable clients of the famed Podesta Group. Of the 16 lobbyists Bank of America is using, 12 have been through the revolving door. They have contributed to both parties (about $14 million since 1998), with Republicans receiving slightly more. They also like incumbents, as over $11 million of their contributions have been to incumbents. Barney Frank, who was a key congressman in both TARP and Dodd-Frank (obviously), was the top Democrat receiving money from Bank of America. So far this year they have given twice as much to Republicans as Democrats. Merrill Lynch, which is now part of Bank of America, gave over 80% to Republicans in the 2010 cycle. Bank of America also gave $161,000 to the Republican Senatorial Committee in 2010. James Mahoney, a man connected to (but not a registered lobbyist) Bank of America, was caught on camera saying that the Bank will help Rick Perry out on his presidential candidacy. Mahoney has also been a big giver to Democrats.

The two House Committees Bank of America is most interested in is: the Ways and Means (almost $200,000) and the Financial Service Committee (over $400,000). According to the Center for Responsive Politics, Bank of America has two PACs active and both have spent over $200,000 already this cycle. The PACs give to both parties, but more to Republicans than Democrats. Barney Frank, Jason Chaffetz, Darrell Issa, Claire McCaskill, Mitch McConnell, and Dianne Feinstein are some of the notable Congressman and Senators that have received money from Bank of America’s PACs.

More at the link --

[xchrom]

1. Recommend

[ChandlerJr]

2. Someone said, maybe Getty

If you owe the bank $100 that's your problem. If you owe the bank $100 million, that's the bank's problem.

[Armstead]

3. Thew policy of allowing "Too big to fail" banks is failing us

[Kablooie]

4. They are going to bleed the US dry. Then when there's no more, they will fail anyway.

It's going to collapse sooner or later.
They should just let it go and deal with the consequences.
Until they do the cash problems are going to only increase.