Executive Summary Republicans oppose banking regulation proposing it is socialists. Republicans provide pure stupidity and falsity on banking. Introduction Republicans like to use the term socialism to describe what they do not like. It is curious to see how they label the regulation of an entirely social good, money — which is based upon a…
Executive Summary Fringe lenders not only offer usurious interest rates, they also violate the privacy of their customers on a regular basis. Introduction Fringe lenders like payday and title loan lenders have a pattern of violating the privacy of their customers. Privacy Violations This is covered in the following quotation. In contrast, fringe lenders often…
Executive Summary There is a social contract between the government and banks as part of banking. This article explains that contract and how it is routinely violated. Introduction Banks originally had a social expectation that they would support the public interest. The Importance of the US Post Office in US History The importance of the…
Executive Summary Obama was a cat’s paw for private banking interests, however, he did try to allow for mortgage modification, but the banks would not accept this. Introduction This quote explains what Obama wanted to do. When President Obama proposed a bill in Congress that allowed judges to modify home mortgages so borrowers could avoid…
Executive Summary Banks have long been considered different from other types of corporations. They have been assumed to have a public service function that has been increasingly eroded from earlier years. Introduction Banks exist because of governments (or in ancient times temples, which were also supported by and connected to governments). Banks without the support…
Executive Summary Banks have a problem existing without government involvement. This is something banks try to hide from the public. Introduction The money creation function is a core capability of governments. Governments provide insurance to banks and deputized banks to engage in money creation by allowing them to have a banking charter. This is explained…
Executive Summary It is little discussed in the modern era regarding the long history of the US of banking concentration. Introduction Concerns around banking concentration have been a long-term issue of many leaders in US history. This is explained in the following quotation. Although Jefferson and Jackson may have been wrong in their solutions, they…
Executive Summary Savings and Loans in the US began with a public service function and focused on providing home loans. Through corruption, the S&L’s were eventually allowed to shed their public service function and become a speculative entity, but with government insurance. Introduction Saving and loans quickly morphed in the 1980s to become entirely profit-motivated…
Executive Summary Whenever a bank needs government protection or a bailout, they begin lying about their public service function. Introduction During the Continental Bank bailout, the same old arguments about the public service function of the bank were raised to build sympathy for the bank. This is explained in the following quotation. The bankers argued…
Executive Summary Banks want interest-only loans where the principal is never extinguished. This is to keep borrowers as customers for their entire lives. Introduction One of the illusions promoted by banks is that they want all of their loan paid back. This is untrue. Banks desire to create perpetual customers, which means a loan where…
