jamesa40

Are PNC's Account Gimmicks Going Too Far?

I do not have as much of a problem that they changed it based on the accounting of SOP 033, but the fact that they did not restate or footnote that change as part of their presentation. To me, that's willful intent to deceive. Why no-one else picked up on this, I do not know.

Increased Deficit Spending: We Can't Afford It

I don't know that I totally agree on your 'dry powder' comment. Sure the real estate bubble has taken a lot out of the market, way more so than in prior recessions, but the fact that bank lending has dried up? That happens in every recession. In good times, the capital flows. In bad times, the banks reel it in. The difference this time may be more that the consumer will have accumulated too much debt and will have to pay that down, thus not needing bank financing. That's different.

Bank Bailouts - Tell Me Again What the Point Was?

Exactly. Seems like everyone wants the go-go days, but without all the risk. That's impossible. Welcome to the new world, a world of reality, where money doesn't grow on trees and banks don't just give you a loan because you showed up. You actually now have to have income and collateral. While this may cause short-term pain, it will right the system and result in a much stronger economy when we pull out of this.


On Jul 28 07:32 AM Angry Banker wrote:

> Just because banks are lending less than before does not mean that
> they are not lending. In fact they are now lending more prudently,
> which if they had done so previously, they would not have ended up
> in the mess they are currently in. And they also would not have lent
> as much previously. So comparing the amount of lending banks are
> doing now vs. the amount they lent a year or two ago is really meaningless.
> We don't want the banks to lend the way they lent before, remember?!!

Why Bank Fees Need to Be Regulated

If you can't read or do math, then you should just deal in cash. Banks provide a service. If you don't like that service, there are plenty of alternatives. Online banking, credit unions, etc. People who just do nothing and whine will not receive my sympathy.

Why Are Banks Paying Back Loans They Can't Afford?

The banks don't want Barney Frank calling them up, much like he did to Fritz Henderson to keep a distribution plant open in his state, and telling them who to make loans to, how much to make them for and why they shouldn't foreclose on them when they don't pay. Yak at bonuses and all that other crap all you want, but who the heck really wants the government to tell them what to do? Would you want them taking over your business?

How Will a Single Payer Health Care System Affect Pharmaceutical Prices?

So your solution is to inject partisan politics into the situation? How does that reduce price, increase access or increase care for anyone? How does forcing 47 million people onto the roles, when no one has answered how the existing infrastructure is going to handle it, going to increase efficiency in the system? If you actually allow a truly FREE market (a good example is allow insurance to be offered across state lines), you will see a huge increase in efficiency, without politics involvement.


On Jun 09 09:56 AM YoYoMama wrote:

> We may not like the government stepping in to control our health
> care system. But we kid ourselves if we think WE THE PEOPLE are
> in control of the health care system. We are not.
>
> INSURANCE COMPANIES currently have a stranglehold on our system,
> determining who receives coverage, who gets dropped for coverage,
> how long you stay in the hospital, what treatments you receive, what
> prescriptions will be paid, and how (OR IF) your treatments will
> be paid for.
>
> INSURANCE COMPANIES dictate to doctors your treatment plan, based
> on if THEY decide to pay for it. Of course, this scenario is only
> beneficial if you have millions in the bank to pay for all the treatments
> your insurance company may refuse to pay, in which case, the health
> care system COMPLETELY works for you.
>
> With all this - God help you if you don't have insurance. One illness
> or accident and you face certain bankruptcy.
>
> As much as us free-market capitalists despise the government getting
> involved health care, I challenge SOMEONE to support a view that
> the heatlh care system in American, as it stands now, TRULY works
> for ALL Americans.
>
> I'm sorry, it just doesn't.

New FASB Accounting Rule Change Is a Positive Move

Agreed, but remember, the more you curtail securitization of assets, the more constrained the banks are to lend money. It's a double-edge sword and as long as you are willing to accept that, it's not a problem. Knowing congress, they'll be screaming foul sooner rather than later as lending dries up.

Regions Financial Rebukes Treasury Findings

Commercial real estate is lagging the market. The other shoe is yet to drop as stores continue to close due to lack of spending. Not to mention the huge amount of loan refi's that will have to be approved by the banks in the next two years. Don't count on that happening.

BB&T: A Better Gauge on How Banks Will Try to 'Outearn' Their Losses

Actually, those fees you rail upon, if you had listened to the conference call, were due to an increase in lines of business like Insurance. Service charges actually FELL for the linked quarter. If you could keep the emotion and hate out of your articles, you'd have a pretty good analysis, but your hate towards the banking industry is clouding your judgment. Remember, it's not personal, it's business.

Has Target Got It All Wrong?

Target is too busy focusing on keeping management entrenched and Bill Ackmann out of the picture. If they ever get away from that saga, maybe they'll realize they have a company to run.

Bank of America Punishes Customers Who Dare to Have a Balance

Free money from the government? Are you kidding? All those TARP funds cost 5%. In three years, it goes to 8%. How is that free money? Not to mention the fact that the government now wants a say in everything the bank does (i.e. marketing, conventions, etc). Personally, the banks should be jacking up the rates for the mispricing of risk they have done for the last 5 years. I hope they raise a ton of money so they pay back the government ASAP. Then, the taxpayers get back their funds and the government gets out of the private sector. So raise away banks and give back my money!


On Apr 12 09:28 PM user 385544 wrote:

> Forgive my sarcasm, but why would banks care about the consumer right
> now.
>
> Lending rate for them is virtually 0%...and they lend back to us
> at what mortgage rates? 5% plus 2 points on a mortage, closing costs
> at all time highs. Historical spread is (approx 2.75%), dont quote
> me on that, i cant find my data to support, but that is what i remember
> from my research.
>
> Point is, its a HUGE spread they are taking. Why would they take
> ANY RISK when the government is funding them with free money and
> they can take the spread. Furthermore, seeing the spreads they are
> taking on mortgages and to some degree credit cards, and dialing
> back on lines of credit speaks to another point.
>
> They see INFLATION coming sooner than later. If it were not for that,
> the spreads would close, and they wouldn't be demanding 2+ points...but
> the spreads haven't closed, as desperately as the new administration
> has tried.
>
> Take a clue from the bankers as to our 5 year outlook on inflation...psst.....they
> are planning for it already.

Banker CEOs Lied to Congress

You're joking right? Sure, the options may have some intrinsic value, but the reality of the matter is that the author is exaggerating the value, based on current market conditions, to make a point. Just as he exaggerated the title of his article to draw viewers, which he seemed to have done. Why not have an article that says "Congress lied to bank CEO's, by imposing retroactive salary caps and bonus restrictions. Fails to understand how markets work."? This article in my mind is a shill piece that is not constructive in any to fixing the current financial system problem. If you like to read junk like this, by all means continue to do so. I for one will be moving on.


On Apr 06 07:31 AM klh wrote:

> I see so many people bashing this article and deriding the author,
> yet none of them have given any numeric facts to prove the statements
> are false - they have ony provided intuitive arguments by which less
> sophisticated readers might infer they are right, e.g. an underwater
> option is worthless. my conclusion is that these bashers must have
> some kind of vested interest in making the bailout of these firms
> and executives seem kosher - and therefore they must either be: in
> a similar situation, a friend of the banks or a friend of Geithner
> and Pauson.

The New Compensation Bill: What Would the Founding Fathers Say?

Ah yes, let's regulate everyone in the industry, their pay, maybe even what they do on the job. Frankly, between the government and the unions, I'd take the unions. That's how bad it has gotten. If you want to cause a mass exodus from the banking industry and make it like your local post office, go ahead. If you want financial stability, tell your Congressman to cut the crap and work on reviving the economy instead of trying to micromanage it.

Is the Bear Market Exhausting Itself?

Technicals aside, the mere involvement of the government in banks, autos and whatever else they plan on taking over is enough to keep volatility and potential risk to the downside high for months to come. Once you get the government out, maybe upside reward will return.

An Autopsy of the Glass-Steagall Act

Can you please explain how the aversion of repeal of Glass-Stegall would have caused Fannie/Freddie to not have imploded or how the rules to banks to lend to subprime clients would have been any different? Whether or not Glass-Stegall would have been repealed, the advancement of the markets would have still lead to much of the mess we have today. Sure, brokerages, insurance companies and banks wouldn't have been one in the same, but their collapse may have been even more spectacular without access to the combined entities capital base.