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Originally Posted by GatorB
Ok first of all all the bailout money given to banks is being paid back WITH INTEREST. SO dfar on teh money thta has been paid back we've made $2 BILLION in PROFIT. Um not bad in my book. Get the money back AND profit. Also GM has to pay back it's money too.
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Once again it's not $700 billion
This is the old estimate the new one is in excess of $28 trillion so you can safely assume that if they only pay back $700 billion+ interest they made off with $27 trillion more.
U.S. Rescue May Reach $23.7 Trillion, Barofsky Says
http://www.bloomberg.com/apps/news?p...=aQEI97EY.fs0#
That's what people don't seem to want to understand. When they deposit that money into 1 bank account it is held there in reserves and earns interest. The bank can then use said reserves to loan out as little as 10x that amount. They did this over and over again paying off their fraudulent credit default swaps. The banks at one time were supposed to hold 10% in reserves but since this bailout and the likes of Goldman Sachs and others became bank holding companies that threshold was raised to an infinite number considering several of those companies are leveraged out 150 to 1. IE they owe 150 times what they have in assets and reserves.