CPST1

The Case for Allowing TARP Repayments

With me so far?

Like reward points for the Bank, or, TARP points?

Winners and Losers in the Bailout Bonanza

Where do you find that the bailout forgives the debt or the loan? Nor is it a write off. The tax ramifications or how this looks to the IRS is going to make this a tangible deal or not, and the meter is running. The plan is not a relief package for the parties involved so they each walk away freely from their obligations.

It's a bum loan that can't be covered for which; you and your bank are each paying interest on the obligation. I count two interest payments now instead of just one, plus the discount on equity.