September 2008 was the month when financial news became front page news. In September of 2008, American financial centers were hit with a series of bankruptcies and closings that seemed to take most experts by surprise. However, anyone paying attention to the financial world could see that these emergencies were part of a pattern of economic collapse that included the subprime crisis, the collapse of the real estate bubble and the runaway fuel crisis.In 2007, subprime mortgage loans lost investment firms trillions of dollars. The term subprime was popularized during this time to describe the practice of giving loans to people with a history of bad credit decisions, bankruptcy and limited borrowing experiences. Amazingly enough, a great number of the borrowers defaulted on their loans leaving the banks with significant losses that couldn't be made up through foreclosure.
[...] What's more interesting is the fact that the other financial experts mock him as a Cassandra and even outright laugh at him. His first statement is that we are in a recession and now is the time to save up and wait. By the end of the segment he doesn't seem to have much to say except to be the gloomy counterpoint to the other “experts” who all give investment tips like Morgan Stanley because it can only go On September Freddie Mac and Fannie May, two major companies that provide funds to mortgage lending banks, were placed under conservatorship of Federal Housing Finance Agency in what was called "one of the most sweeping government interventions in private financial markets in decades" On September the government created an $85 billion credit facility to enable AIG to meet collateral and cash obligations. [...]
[...] America is in a retirement crisis already as every year more members of the baby boomer generation qualify for Social Security. One of the plans advanced to stem off the massive debt from paying Social Security is to allow many to live off their retirement or voluntarily give up their benefits. Of course, that's a fantasy based on the idea that people will refuse money, but it's less fantastic should these people have savings upon which to draw. Of course, Social Security recipients also have the option as to when they will get benefits. [...]
[...] In fact the plummeting prices only underscore the lack of effectiveness in rebates and sales offers. Tom Libby, senior director of industry analysis for J.D. Power & Associates stated, "It's being perceived as the same old stuff from the same companies. The domestics are being hurt by repeatedly using these programs because the perception by consumers is that they need to do them to get rid of their cars." It is a buyer's market in terms of cars just the same as in real estate. [...]
[...] September Greider, William “Paulson Bailout a Historic Swindle” The Nation. September Lawder, David backs away from Plan to Buy Bad Assets” Reuters November 2008 Lockhart, James B., III (2008-09-07). "Statement of FHFA Director James B. Lockhart", Federal Housing Finance Agency. Retrieved on 7 September 2008. Stout, David Wall Street Bailout Plan Explained” The New York Times. September bank eyes support in lawsuit over U.S. fund” Reuters. August Buchholz, Jan “18-month Slide in Home Prices Surpasses 1980s Downturn” Phoenix Business Journal. [...]
[...] As Chris Carey reports: When the Treasury Department's bailout czar provided an update this week on the government's $700 billion plan to rescue troubled financial institutions, he vowed that it would be an "open and transparent program with appropriate oversight.'' The next day, the Treasury Department put out an announcement about a major bailout-related contract with Bank of New York Mellon Corp. that fell short in the transparency department.The copy of the agreement that was made public had blacked-out paragraphs in the section covering Bank of New York Mellon's compensation. [...]
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