Headlines...

[EvaLSeraphim_IHB]

I got your socialism right here, baby.

The Fed Is Worried: Now the government is talking about financing companies directly. If the banks and the markets cannot or will not do it, Uncle Sam will.

The Fed put out a statement this morning that said it would start paying interest on deposits and would increase the size of its Term Auction Facility auctions. Both are ways of getting cash out to banks.

But the banks are not lending very much, and the commercial paper market is in danger of closing up as investors seek safety above everything.

So the Fed added:

In addition, the Federal Reserve and the Treasury Department are consulting with market participants on ways to provide additional support for term unsecured funding markets.

The Fed added that it was prepared to do more “as necessary to foster liquid money market conditions.”

So we may soon have the government deciding which companies deserve short-term loans, and at what interest rates. Does this remind anyone else of central planning systems?

 

[usctrojanman29_IHB]

I got your socialism right here, baby.

The Fed Is Worried: Now the government is talking about financing companies directly. If the banks and the markets cannot or will not do it, Uncle Sam will.

The Fed put out a statement this morning that said it would start paying interest on deposits and would increase the size of its Term Auction Facility auctions. Both are ways of getting cash out to banks.

But the banks are not lending very much, and the commercial paper market is in danger of closing up as investors seek safety above everything.

So the Fed added:

In addition, the Federal Reserve and the Treasury Department are consulting with market participants on ways to provide additional support for term unsecured funding markets.

The Fed added that it was prepared to do more “as necessary to foster liquid money market conditions.”

So we may soon have the government deciding which companies deserve short-term loans, and at what interest rates. Does this remind anyone else of central planning systems?

Sweet, I hope I can refinance my private student loan which is at Prime -.50% to Fed Funds STAT!!!

 

[halfnote19_IHB]

BofA to slash mortgage payment

Bank of America will cut monthly housing payments, including mortgage, property taxes and insurance, to no more than 34% of gross income

 

[skek_IHB]

.

 

[halfnote19_IHB]

NJ may bill mortgage lenders $2,000 per foreclosure

The proposal was part of a bill designed to slow a surge in foreclosures hitting the state because borrowers cannot afford their subprime loans

Do they really think charging the banks 2k will get them to not file a foreclosure?!

 

[profette_IHB]

I want deductability of bicycle components. Are my legs not "alternative energy"?

Here you go, Eff. Perhaps employers will pass it on to employees?

"The Bicycle Commuter Act was added on to last week’s bailout bill and will provide a $20 tax credit per month to employers of bike commuters. The credit is intended to go toward adding provisions for bike commuters, like racks and locker rooms, for those who decide to go car free."

Linky

 

[IrvineRenter_IHB]

BofA to slash mortgage payment

Bank of America will cut monthly housing payments, including mortgage, property taxes and insurance, to no more than 34% of gross income

"But the program can't help every Countrywide borrower. Some, because of illness, divorce, job loss and the like, simply won't be able to afford any reasonable mortgage payment."

If the program isn't helping people who can't afford their payments due to illness, divorce, job loss and the like, who exactly is it designed to help?

Oh yeah, those people who lied about how much they made and bought homes they couldn't afford. Well, that's nice.

There won't be a free lunch on this. It will be interesting to see who is eligible and who is not, and what happens to any balances forgiven.

 

[freedomCM_IHB]

analysis over at laland suggested the $/loan in CA was $29k ($21k nationally).

that is only enough to lower interest rates for a few years, not to touch principal.

 

[lendingmaestro_IHB]

Coldwell cries "UNCLE"

http://www.reuters.com/article/bondsNews/idUSN0228964320081006?sp=true

NEW YORK, Oct 6 (Reuters) - One of the largest U.S. real estate brokerages on Monday said it is asking its sellers to cut listing prices by as much as 10 percent to kick-start U.S. home sales in a market plagued by a two-year price slump and near-record unsold supply.

Most owners still are unrealistic when pricing their homes, and a reduction of 10 percent or less would push the properties "over the tipping point to a sale,"

Don't they really mean "or more"?

Right.....not like there isn't a mortgage on the property or anything.

 

[lendingmaestro_IHB]

BofA to slash mortgage payment

Bank of America will cut monthly housing payments, including mortgage, property taxes and insurance, to no more than 34% of gross income

Another well thought out plan!! They can't possibly think that they'll just look at the borrowers actual W2's or 1040's and use full-doc. They'd be cutting mortgage payments in half!! Typical PR spin to make it seem like they are here to help. I hope this uncovers butt-loads of income fraud!

 

[usctrojanman29_IHB]

BofA to slash mortgage payment

Bank of America will cut monthly housing payments, including mortgage, property taxes and insurance, to no more than 34% of gross income

Another well thought out plan!! They can't possibly think that they'll just look at the borrowers actual W2's or 1040's and use full-doc. They'd be cutting mortgage payments in half!! Typical PR spin to make it seem like they are here to help. I hope this uncovers butt-loads of income fraud!

Or that this is just PR that is BS.

 

[halfnote19_IHB]

After Bailout, AIG Executives Head to Resort

Less than a week after the federal government offered an $85 billion bailout to insurance giant AIG, the company held a week-long retreat for its executives at the luxury St. Regis Resort in Monarch Beach, Calif., running up a tab of $440,000

 

[IrvineRenter_IHB]

After Bailout, AIG Executives Head to Resort

Less than a week after the federal government offered an $85 billion bailout to insurance giant AIG, the company held a week-long retreat for its executives at the luxury St. Regis Resort in Monarch Beach, Calif., running up a tab of $440,000

At least they are stimulating our local economy.

 

[usctrojanman29_IHB]

After Bailout, AIG Executives Head to Resort

Less than a week after the federal government offered an $85 billion bailout to insurance giant AIG, the company held a week-long retreat for its executives at the luxury St. Regis Resort in Monarch Beach, Calif., running up a tab of $440,000

They spent $150,000 on food? What the hell were they eating???

 

[halfnote19_IHB]

After Bailout, AIG Executives Head to Resort

Less than a week after the federal government offered an $85 billion bailout to insurance giant AIG, the company held a week-long retreat for its executives at the luxury St. Regis Resort in Monarch Beach, Calif., running up a tab of $440,000

At least they are stimulating our local economy.

They are... and we all are paying for it.

 

[Thankful_Renter_IHB]

FDIC to boost deposit insurance fees

 

[awgee_IHB]

After Bailout, AIG Executives Head to Resort

Less than a week after the federal government offered an $85 billion bailout to insurance giant AIG, the company held a week-long retreat for its executives at the luxury St. Regis Resort in Monarch Beach, Calif., running up a tab of $440,000

At least they are stimulating our local economy.

They are... and we all are paying for it.

It occurs to me that it seems a bit strange that the main street financial media constantly reports on the new bailout or loan plan or auction facility or discount window or fed liquidity injection or ..., but I never hear them refer to or ask what trillions of dollars of created money will do to the buying power of existent dollars. Oh well, it probably isn't worth thinking about.

 

[jbenko_IHB]

You hit it right on the head awgee. Nobody talks about it.

Maybe those 1M dollar homes won't come back to the prices where they really should be at. But the new 1M in 2 years from now won't be the 1M it is today that is for certain.

 

[halfnote19_IHB]

After Bailout, AIG Executives Head to Resort

Less than a week after the federal government offered an $85 billion bailout to insurance giant AIG, the company held a week-long retreat for its executives at the luxury St. Regis Resort in Monarch Beach, Calif., running up a tab of $440,000

At least they are stimulating our local economy.

They are... and we all are paying for it.

It occurs to me that it seems a bit strange that the main street financial media constantly reports on the new bailout or loan plan or auction facility or discount window or fed liquidity injection or ..., but I never hear them refer to or ask what trillions of dollars of created money will do to the buying power of existent dollars. Oh well, it probably isn't worth thinking about.

They don't do that because its not an issue now...

that's a future problem... who cares?!

 

[halfnote19_IHB]

Q&A the Fed Rate cut

All things equal, the Fed’s decision to inject more money into the system — which is technically what it does when it reduces its benchmark rate, as it did this morning — will push inflation higher. And when the economy starts to recover, the Fed will need to be vigilant about raising interest rates again before inflation becomes a problem. But an overheated economy does not look like today’s problem.