Economic Terrorism - Last 2 weeks Bank Top Brass Orders to Say No to Credit

[Mark]

Mike Jackson from AutoNation just said on CNBC that a long time leasing customer wanted a 4 year lease - Bank said no..

Then the customer offered to pay for the lease UPFRONT - ALL 4 YEARS, paid for AHEAD OF TIME with a check,
and the bank STILL said no, because of orders the last 2 weeks not to do deals from the top levels of the Bank.

There have been articles about banks hording cash, but how "ironic" that the last 2 weeks when they've been pushing for a Bailout
they won't even approve deals with the cash upfront. This is Economic Terrorism on the part of the Banking Establishment!

They been causing gloom-n-doom in the credit markets to pass this Bailout and they should be tried as terrorists.


Or maybe I'm missing something about how a lease paid for in full upfront is somehow a risk not worth taking for a bank??

[mnewcomb]

In a lease, you are financing the depreciation. So, this person is paying all the rent up front (say 70% of the car's cost). So, the bank is still buying the other 30%. So, there is some risk involved.

[slacker921]

http://video.aol.com/partner/cnbc/auto-loan-concerns/Bi9_4Wpt7DGuzIFV5KujPgiJ0_Ktu1p5/?icid=VIDLRVBUS05

that's one from a few days ago where he's pushing FOR the bailout.. I'd like to see this new one.

[Mark]

In a lease, you are financing the depreciation. So, this person is paying all the rent up front (say 70% of the car's cost). So, the bank is still buying the other 30%. So, there is some risk involved.

Okay, thanks! I'm unfamiliar with the leasing process.

One would think with the car market so depressed that would be a deal too good to pass up.

Apparently the requesting leasor had a great credit rating and has had a long and steady history of leasing.
I would think much less relative risk compared to most leases.

[Mark]

http://video.aol.com/partner/cnbc/auto-loan-concerns/Bi9_4Wpt7DGuzIFV5KujPgiJ0_Ktu1p5/?icid=VIDLRVBUS05

that's one from a few days ago where he's pushing FOR the bailout.. I'd like to see this new one.

That was almost word for word what he said a little while ago. As Maria said: "The message Congress needs to hear" to pass the Bill.

But Jackson said Banks have no money to lend, yet, this article (http://www.bloomberg.com/apps/news?pid=20601087&sid=aBxs213UjqjA&refer=home) says they're hording cash.
They have it, they're just not letting go of it out of "fear". The same FUD being used to force Congress' hand.

Libor Rises a Fourth Day as Banks Hoard Cash After (Senate) Bill Passed (http://www.bloomberg.com/apps/news?pid=20601087&sid=aBxs213UjqjA&refer=home)

[puppetmaster]

Mike Jackson from AutoNation just said on CNBC that a long time leasing customer wanted a 4 year lease - Bank said no..

Then the customer offered to pay for the lease UPFRONT - ALL 4 YEARS, paid for AHEAD OF TIME with a check,
and the bank STILL said no, because of orders the last 2 weeks not to do deals from the top levels of the Bank.

There have been articles about banks hording cash, but how "ironic" that the last 2 weeks when they've been pushing for a Bailout
they won't even approve deals with the cash upfront. This is Economic Terrorism on the part of the Banking Establishment!

They been causing gloom-n-doom in the credit markets to pass this Bailout and they should be tried as terrorists.


Or maybe I'm missing something about how a lease paid for in full upfront is somehow a risk not worth taking for a bank??

Surprsed?

[HOLLYWOOD]

4 year lease - Bank said no..

Then the customer offered to pay for the lease UPFRONT - ALL 4 YEARS, paid for AHEAD OF TIME with a check, and the bank STILL said no, because of orders the last 2 weeks not to do deals from the top levels of the Bank.

There have been articles about banks hording cash, but how "ironic" that the last 2 weeks when they've been pushing for a Bailout
they won't even approve deals with the cash upfront. This is Economic Terrorism on the part of the Banking Establishment!

A proven fact, the banks are all in it forthemselves. A prefect example NOT to give them money.

If money is to be spent, give it to the small local and regional banks, not the Corrupt EVIL Goliaths that circumvented the laws or lobbied to have them changed.

CONGRESS is DOING the ABSOLUTE WRONG THING with $800 BILLION.

Money Down the Toilet!