Cliptoons by S&S

Wednesday, October 29, 2008

Getting It Right - Decision Time Is Here

10/30/08
Please Utilize Your Right To Vote, Many Patriots Have Died So That You Still Have That Privilege
By Sid Riley

This column presents a conservative viewpoint about items of interest in our community and our lives. Focus is on items impacting your pocket book, your personal freedoms, and your rights. I hope you will read the column regularly and it occasionally influences your opinions and actions. Now, on to the subject of the week:
"Social or Economic Stresses Historically Cause Changes to Occur…However, These Changes Are Not Always for the Betterment of a Nation or Society".
When significant changes occur within a nation, they usually have a social or an economic foundation that has sparked the movement and created the momentum of a new direction. History is replete with examples of this aspect of societies.
During the 1930’s the economy of Germany was in shambles as a result of the Great Depression. Inflation was rampant and the national currency had become worthless. The lifetime savings of the population had thus also been rendered worthless, business failures abounded, unemployment was widespread, and life was deteriorating at a fast pace. Desperately the population looked for someone to lead them out of this situation through a program of change that would restore their economy and national pride. Nothing else mattered.
Adolf Hitler and his Nazi Party waged a tremendous, effective campaign in 1930 that offered a new glimmer of hope for the German population. Hitler traveled the country from end to end delivering dozens of major speeches promoting nationalism, attending meetings of hundreds of national organizations, shook hands and signed thousands of autographs, and even kissed numerous babies.
Hitler offered something to every citizen: work to the unemployed, prosperity to failed business people, increased profits to industry, social harmony through an end of class distinctions, and restoration of Germany’s former glory. He appealed to all classes of Germans. The name of the Nazi party itself was deliberately all inclusive - the National Socialist German Workers’ Party, a Union into itself.
Joseph Goebbels who functioned as his campaign manager brilliantly organized thousands of meetings and torchlight parades, plastered Hitler posters everywhere and printed millions of copies of special editions of Nazi newspapers. It was an advertising blitz for that day.
For Hitler, the master orator, the long awaited opportunity to use his talents on the German people had arrived. He would find in this downtrodden people, an audience very willing to listen. In his speeches, Hitler offered the Germans what they needed most, encouragement, a promise of prosperity, an equalization with the upper classes. He gave them heaps of vague promises while avoiding the details. He used simple catchphrases, repeated over and over. He skillfully played on the emotions of the audience lifting their level of emotion higher and higher until the people wound up a chanting, screaming, horde that looked upon him with almost religious adoration.
Winning the election thrust Hitler into a position of national and international prestige. In celebration of their national victory, Nazi storm troopers dressed in civilian clothes smashed the windows of Jewish shops and businesses, an indication of things to come.……
Another example of social unrest enabling change to occur is the history of Cuba in the late 1950’s. The poor struggling citizen peasants could barely scrape together an existence for their families as they lived under the Batista dictatorship and the class system that rose from his coup to power in 1940. Replete with criminal activity, suppression of the media, and unrelenting political imprisonment or execution of any who spoke against him, his regime was a period of economic despair, class domination, and hopelessness for a large segment of the population. The situation was ripe for the emergence of a new leader and promises of change.
In 1953 Castro led an uprising against the Batista military, but failed. He was imprisoned for a few years and then released to live in Mexico. He later organized an invasion force, and invaded Cuba in 1956. As his army moved across the country from the West, the population began to side with this new "savior" who promised them a new life of fair treatment, increased wealth, and equality. In a few months he had conquered the nation, marching triumphantly into Havana as Batista fled the country.
To the surprise of the international community, Castro immediately formed The Communist Party of Cuba, and became its first Secretary. He established a Single-party Socialist Republic. He began to suppress and nationalize the media, to nationalize all major businesses and utilities, and aggressively imprisoned anyone who spoke or acted against him.
Under the fifty year reign of Castro, the life of the poor peasant has changed little. Although Castro promised a classless society, he is recognized today as being among the wealthiest men in the world with assets estimated at over $900 million, much of which is "stashed" in Swiss accounts. Another promised social change that failed to become a reality for the underclass.
Then there is the example of what occurred in the United States of America during the economic turmoil of 2008 which was caused by decades of mismanagement within the national government and the financial institutions of the nation. With the U.S. currency becoming worth much less, escalating costs of the necessities of life, a burdensome, costly bureaucracy, growing unemployment, and a declining standard of living, the population was ready for a leader who promised change.
Onto this stage in the elections of 2008 stepped Barack Obama, a new leader with great oratory skills who promised to initiate a menu of Socialistic programs which promised the struggling classes increased earnings and benefits……. (sound familiar?)
RUDIMENTS: Odds and Ends Worth Mentioning –
- Congratulations to the City of Marianna for the paving of the latest portion of Kelson Avenue. I am looking forward to driving down that smooth, new, expensive street my water bills helped pay for. Hopefully, since they have installed all new drainage and water lines under this street, they won’t have to immediately begin poking holes in it to accomplish repairs.
- The DOT has destroyed the canopy over Hwy 73, our route to Dothan. If a private citizen had tried to cut down that many trees our FDEP would have been all over them.
- Isn’t it amazing that the price of oil has fallen 55% from its high, while in the same period the price of gasoline has only fallen 35%, do you suppose someone is still gouging the system? I wonder if the utilities will lower their fuel surcharges.
It is time for us all to take time to vote. As you cast your ballot you will be "Getting It Right".
Note: The opinions stated in this column are solely those of the author and do not represent those of Hatcher Publications.

Wednesday, October 22, 2008

Getting It Right- Things We Can Expect After the Liberals Take Command

10/24/08
By Sid Riley

"Hold onto your hat and hide your pocketbooks, The Liberals Are Coming!"
There is a strong possibility that during the next four years our nation will be ruled by a Congress that enjoys a wide liberal majority and a liberal President in control of the White House. This means that they will have the unbridled power to enact any legislation they wish….and they have plenty of new laws eagerly waiting in wings. All of the special interests, supporting movements, and bribe paying lobbyists will fill the corridors of the government chambers, all clamoring to call in the debts the legislators owe them.
In my opinion some of the things we can expect to appear in the oncoming landslide of legislation will include:
♦ Union Payback Time Legislation:
- The union movement has been casting millions of membership funds into the political arena for years, waiting for this moment to arrive. They will be pushing for several new laws that will strengthen their hold on the areas they work in, and to enable them to move into areas now forbidden or inaccessible.
o The first area they will attack is the 14 "Right to Work" states where unions are forced to bargain with employers in an "open shop" arrangement where the employees have a choice as to whether or not they wish to belong to a union. In the "closed shop" states, all employees of a company or organization must belong to the union if they want to work there. We can expect the "Right To Work" concept to be eliminated.
o For several years the unions have been pushing to abolish the secret ballot in union elections. They want to be able to identify those employees who vote against unionization, so they can enact reprisals and intimidation against them. We can expect the right to a secret union ballot to be abolished.
o There are several areas of government where unions have been prohibited from organizing and/or prohibited from the right to engage in strikes. This includes the aircraft controllers, and other areas of public service where public safety is a factor. We can expect the union grip on government functions to strengthen and widen. This will ultimately make the cost of government increase.
o Social Legislation Payback Time:
There are numerous special interest groups with social agendas that have also been shoveling money into the coffers of the liberal legislators for many years. From these we can expect many new laws to be pushed.
o Gay rights issues will be responded to by the liberal government as they pay back these organizations for their many years of loyal support. Gay marriage, gay lifestyles, right of adoption, public display of gay literature, and similar issues will all be legalized.
o Pro-abortion activities will push for government sponsored abortion programs for those in need. Government supported abortion clinics will reemerge.
o Radical environmental groups will push for more costly and restrictive legislation on industry and private individuals. Personal property rights will be further reduced and the strong arms of the EPA and State Environmental Agencies will be increased.
o The Judicial System will be further liberalized:
o Hundreds of Federal judges will be appointed by this government. These judges are virtually "un-removable" with lifelong terms of appointment. The thousands of liberally slanted decisions they will render will have a tremendous and lasting impact on our national body of law.
This incoming President and Congress will probably select several new supreme court justices. These appointments will liberalize the supreme court of the land for decades to come. We are just now evolving away from decades of irrational decisions emanating from the liberal court created by Lyndon Johnson and his liberal regime….now we are about to create another similarly minded court.
With Californian Nancy Pelosi and her liberal congressional majority in charge, our nation would endure changes throughout its structure. All of this comes at a time where our nation needs to unite in an effort to strengthen our weakening economy. May God help us!
Rudiments- Odds and Ends Worth Mentioning:
♦ The Greg Howard racial incident at MMS has saddened me. It is very unfortunate that an individual’s foolish, inconsiderate act can cause so many old wounds to be opened. This is certainly not the perception I have of racial relationships in our community. However, I do believe some meaningful gains will result from this incident. First, I feel the School Board will work to strengthen school policy for racial incidents of all kinds. I would recommend prescribing four types of incidents and specific disciplines for each. These would be, 1. Reactive minor incident, 2. Reactive major incident, 3. Premeditated minor incident, and 4. Premeditated major incident. For the premeditated major incident the policy would be zero tolerance and required dismissal.
This policy would apply to all types of racial slurs. Thus, there will be no more Polish jokes, Pat and Mike Irish jokes, Jewish Jokes, or use of any type of racially biased term, name or phrase. Sorry folks, but this is the way our society has evolved.
♦ If the "N" word is to be totally removed from the English language, classified among the most vile and unacceptable group of forbidden words (as it should be), then this rule must apply to both races. The use of this word must be considered just as vile and dastardly when a black uses it as when a white uses it. It can not be "cool" to use it in one instance and a terrible act in another. A double standard will not work. The black community must rise to solve this problem. Do this and we will all be "Getting It Right".
I see the Value Adjustment (LOL!) Board refused to make any changes in anyone’s taxes again this year. In my opinion this is just an administrative "scam" designed to make it appear the citizens have a voice concerning their taxes. They are following the "Golden Rule" of the bureaucracy "when you get your hand in the taxpayers’ pocket, never, never take it out." I would suggest they discontinue the Value Adjustment Board and instead build a "wailing wall" on the court house grounds for taxpayers to go to for prayer and a place to bump their heads against.
♦ I learned today why they bury the dead above ground in New Orleans…..It is easier to get them to the polls that way.
Note: The opinions stated in this column are solely those of the author and do not represent those of Hatcher Publications.

Thursday, October 16, 2008

Getting It Right - The Reshaping of America

10/16/08

"Our nation has been in a state of change for the past forty-five years – now we can see where we are going."
In my opinion our nation started a downward trend in the early 1960’s, and has been slowly sliding downhill since. It began with the "hippie" movement, the Viet Nam War protests of that era, and the onset of the drug culture.
Ironically, it was the Democrats under Kennedy and Johnson that bore the brunt of the blame for the lack of progress in Viet Nam and the growing clamor for withdrawal. That withdrawal was accomplished by Nixon, a Republican. That would appear to be the reversal of what is happening today in Iraq. However, one big difference is the fact that the Vietnamese had not knocked down half of New York and killed 3500 civilians in a sneak attack.
From that beginning we have seen the creation of "the Great Society" where most of today’s entitlement programs originated under a heavy Democratic majority in both houses and Lyndon Johnson and Hubert Humphrey in charge of the White House. Since then, for several generations welfare became a way of life for many instead of workfare. Taking a free check from the government was once considered disgraceful and a sign of failure….today it is something to be expected.
Socialism has steadily crept into the fabric of our society as "Big Brother" government grew the bureaucracy and they began to increasingly dictate how we live our lives, care for ourselves, care for our properties, and how we spend our money. Socialism takes away individual choices and liberties, and that has been occurring as more and more legislation is passed at every level of government.
Socialistic principles have taken over the local school systems. Local elected officials primarily are helpless "pawns" that merely follow state mandates and rules. In the process, Big Brother liberalized the educational processes, lowered the standards so that all could succeed, and facilitated unionization of the school system employees….all of which has resulted in a tragic decline in the quality of getting an education in our country.
Socialism has created an ever increasing cost burden on the family in order to support the growing bureaucracy and costly extra administration. As a result, over the last forty-five years most women that were once "housewives and mothers" have been forced to enter the labor force. This has resulted in a disastrous degeneration in the family structure. Before this occurred the husband would come home from work, supper would soon be ready, and the mother, father, and all of the children would sit down for the evening meal. Communication and loving bonding was created. Today, most mothers are too tired to prepare a meal every night, and the family grabs some fast food, and seldom do they all dine together…..that is if there is a family.
Before the liberalization of our culture under increasing socialism, it was a disgrace to have a child out of wedlock. Today, it is an accepted, even encouraged, practice. Today, over half of the children born in our "Great Society" are born out of wedlock. Many children grow up without ever knowing a father. The influence of religion on the family culture has correspondingly diminished.
The basic concept of a free enterprise capitalistic system is the incentive that "hard work will yield success". Under Socialism, all wealth is redistributed, and everyone will theoretically enjoy the same relative standard of living as income is equalized by the government through taxation of those with money, and granting of "entitlements" to those needing money. This may sound good on the surface to many, but the downfall of this concept comes when those at the top realize they can live almost as well without working or creating wealth and jobs. They too finally decide to become one of those getting a "free ride" instead of one of those "pulling the train". That is what has happened in numerous other countries where Socialism and Communism were the economic and cultural systems that their population supported. I fear that is the path of the United States of America.
The current economic disaster of our nation has been largely created through past interference in the financial systems as socialistic principles caused government to force the lending institutions to make questionable loans to questionable borrowers, or they would be given bad rankings by the government regulators. So I blame socialism and those who promote it for a large part of the current failure of our markets.
Now, in an effort to correct the problem government is stepping further into the system by buying banks and manipulating the processes….more socialism.
It appears we may be about to elect a socialistic, liberal President who will be working in concert with a liberal, socialistic congressional majority. It will be a repeat of the Johnson-Humphrey era, with socialized medicine, and increasing entitlement programs. This is coming at a time when our nation is as fragile and vulnerable as a withering flower. May God help us all as we become the Socialistic Republic of America!
Rudiments: Odds and Ends Worth Mentioning-
- I am pleased to announce that our "Take the vote to Ohio" bus trip was a big success. We had 68 voter volunteers go on the trip in the chartered bus, we were able to register and vote 822 times and those friendly ACORN workers gave our riders 44 cartons of cigarettes and $380 in cash for voting. At first they were not going to pay us since they thought we were not voting for their candidate, but we tricked them and convinced them otherwise. We hope to get another bus together for another Ohio trip prior to election day.
- I appreciate the sincere effort our County Commissioners are putting forth to develop a paving plan for the county. I feel they will soon work it all out and will begin to create some new pavement in Jackson County….unless the economy really falls and they have no funds.
- Please take time to come to the Last Forum tonight (Thursday) at the Marianna High School Auditorium.
Do this and you will be "Getting It Right".
Note: The opinions stated in this column are solely those of the author and do not represent those of Hatcher Publications.

Thursday, October 9, 2008

Getting it Right- “It Just Isn’t Right!”

10/9/08
By Sid Riley

As we live and experience our short lives and encounter people, actions, and issues we are often faced with decisions relating to how to handle something when we know it "Just Isn’t Right". If you will just pause for a moment you will probably be able to recall or list several such instances that you have encountered. While doing this….reflect on how you handled the situation.
The easiest way to handle it is to merely turn your back and ignore it. "It doesn’t impact me, I’ll let someone else deal with it", is the weak willed, chicken way to handle it. Personally, I have a difficult time allowing or tolerating any situation, procedure, or action that hurts some person or group at the benefit of others. I just can’t keep my mouth shut and walk away from it.
These situations are all around us. Let me cite some examples:
1. At last nights meeting of the Marianna City Commission they began to deal with the unfunded mandate apparently required by State legislation that requires a detailed review of every city and county comprehensive plan for functionality and performance. This doesn’t sound too bad on the surface…but then comes the realization that the review and study will cost the city approximately $100,000. Multiply this by every city and county in the state and you will see that this requirement ends up costing the taxpayers in Florida millions of dollars. All it really accomplishes is shuffling bureaucratic paperwork and keeping ex-bureaucratic consultants wealthy. I applaud our city commissioners for resisting this suspect scheme and seeking less costly options. It Just Isn’t Right!
2. This morning’s television news is full of stories relating to voter registration fraud that is being discovered across the nation (10 states so far), relating to the activities of the organization known as ACORN. One woman named Marthae Ray was found to have been registered twenty times by ACORN. Now, if they do prove voter fraud, the government will merely slap their hand and say Bad Boy! The same is true if illegal aliens are caught sneaking across our border, using our medical facilities, our welfare, and in some instances even voting. They are carried back to the border, slapped on the hand and told Bad Boy! But just let some tax paying, struggling citizen get caught driving without a seat belt, going a little fast because they are late getting to work, or even having a tail light out….and they get a whopping fine, points, higher insurance payments, and a bad mark on their driving record. It Just Isn’t Right!
3. Then take the DROP program for government workers. A government worker can retire, begin to draw a big, juicy retirement check and then go back to work for the government at full salary. They can thus effectively double their income during the last years of their career…and it is tax money. Nothing similar to this benefit exists in the private sector. It Just Isn’t Right!
4. The Washington bureaucrats and politicians have created a separate, more lucrative social security system for themselves, while they steal from our social security funds causing it to be endangered. It Just Isn’t Right!
5. The Senate version of the bailout legislation that was finally passed last week is a good example of the depth of corruption that exists in Washington. They routinely prove they are prostitutes and their vote can be bought if you only pay the going fee. The revised bill had over $100,000,000 in pork filled "earmarks" that were cleverly designed to "buy" the vote of specific Senators and Congressmen. This even included tax breaks for a company making wooden arrows. That is no way to conduct government of our land. There should be a rule passed that prohibits any non-related amendments from being attached to a piece of legislation. This same system exists in State government. It Just Isn’t Right!
6. Our constitutional officers in Florida have created a situation that is unfair to the tax payers, the County Commissioners who have budgetary responsibility, and all other county employees across the state. They used their lobby organization (union) to have our game playing legislators pass laws that allow the constitutional officers to submit lump budgets which effectively "hide" line item expenditures from the sunshine that is supposed to exist when public funds are involved. As a result the opportunity is given to these officials to violate normal salary-benefit guidelines and create special deals and bonus payments for their favorites or any kinfolk that might work in their office. The commissioners are left with the budgetary responsibility, but without the authority to analyze the situation. I have heard of one instance where a Commissioner began to resist this approach, and as a punishment his house was reappraised and his taxes increased in reprisal from the Constitutional Officers. It Just Isn’t Right!
7. The State has established a grants system that causes every school board and county function to grovel at their feet, eagerly jumping up and down, begging the state "crats" to throw them a grant. These grants are frequently merely vote buying gifts for unneeded projects and programs that give our State Representatives a photo opportunity as they bring the check "home" to our county. This creates a wasteful philosophy of "If we don’t get it and spend it…someone else will". With this approach taken by every bureaucrat and politician in the system, huge amounts of waste are created throughout the state. This type of thinking led to our new EOC building, our new Health Department Building, $500,000 in parks construction in Bascom, Marianna, and countless other towns across the State, and billions of tax dollars in other grant funded items. It Just Isn’t Right!
8. Through their control of taxation and procedures of dolling this money back to the counties, the State government is steadily removing local control of the schools and other routine county functions from local county direction and placing direction and control into Tallahassee (Disney Land North). It Just Isn’t Right!
9. In Washington, the very regulators who were supposed to be monitoring the activities of Fannie Mae and Freddie Mac were being "bought" by these organizations through huge donations they made to their campaign funds. They were thus bribed into cooperation and were on the "take" just like a corrupt politician. Specifically this included Congressman Barney Frank and Senator Christopher Dodd, Barack Obama, and John Kerry, who received "gifts" exceeding $100,000 from these organizations. It just isn’t Right!
I could fill issue after issue of many papers with thousands of examples of abuses, special arrangements, favoritism, nepotism, cheating, and questionable deals that exist and thus diminish the effectiveness of our governments, and the use of our precious tax dollars.
When you encounter one of these situations, do not turn your back and walk away. Be active and critical of anything that Just Isn’t Right…do this and you will be Getting It Right!
Rudiments: Odds and Ends Worth Mentioning-
- They are supposed to begin paving of Kelson Avenue down the hill to Jefferson Street next week…….Proof there is a God!
- Please mark your calendar for October 16 (Thursday evening) for "The Last Forum" at the Marianna High Auditorium.
- We have chartered a bus to go to Ohio to register and vote the same day, illegally. If you would like to take part in this unethical political activity please be at the bus at 7:00 AM on Monday morning.
- Our old high school in Marianna continues to decay…Wal-Mart building sits vacant, and our rent payments to the county’s bureaucratic landlords around the courthouse square continues to be paid each month.
- May God bless our struggling nation.
Note: The opinions stated in this column are solely those of the author and do not represent those of Hatcher Publications.

Thursday, October 2, 2008

Getting It Right- Incompetence At The Highest Level

10/2/08
By: Sid Riley

It appears the United States is operating without a legislative element in our government.
If an organizational element existed within a corporation that is as inept, corrupt, self serving, incompetent, ineffective, misdirected, hypocritical, and outright stupid as the collective bodies of our House of Representatives and Senate in Washington, D.C…..they would immediately be fired and blackballed from ever working again. Our "Ship of State" is foundering and sinking, while the crew argues about who forgot to put the plug in.
Folks, our nation apparently has a very serious problem, and we must all become very serious about correcting it…..or we may all suffer at a level we cannot comprehend. It is a time when we must all unite, decide on a course of action, and react. We are all in the same boat.
We can fine tune the remedies as time passes. We can determine the causes of the situation and place blame in the coming weeks and months. We can strategize and politicize the issues after the immediate crisis has passed. But we must immediately restore the availability of credit to our economic system before failures cause a catastrophic landslide that will pull down the entire economy of our nation, and probably the economies of most of the nations of the world.
If our elected officials continue to argue about who caused this mess, and point accusing fingers at each other for political gain instead of dealing with the problem….within a relatively short period of time a downward slide will start that will be unstoppable regardless of what actions they take. They are playing with an economic time bomb in a manner not unlike Nero fiddling while Rome burned.
Cause and Blame:
As is the case with most problems, this situation is the result of several complex, interacting components that developed over a period of several years. Both political groups are to blame.
Some of the underlying causes that have contributed to this financial dilemma are:
♦ Broadening the types of banks allowed to engage in mortgage financing. At one time only Savings and Loans Banks could make mortgage loans. I think this was changed during the Reagan era or perhaps before.
♦ Relaxing bank loan requirements and relaxing regulations. Previously borrowers were expected to pay around 20% of the purchase price as a down payment to secure the loan, had to have personal income and reserves that would support paying the loan, and application data such as stated assets and income were verified prior to the transaction. All of this was changed during the Reagan, Bush, and Clinton periods.
♦ Injection of social programs into the lending market. Government regulators began to force banks to make a percentage of their loans to minorities and low income borrowers. This approach was further enhanced as Fannie Mae and Freddie Mac were created to assist banks in maintaining liquidity and those agencies began to encourage loans to low income borrowers (sub-prime loans). These policies were pushed during the Clinton era and continued until the crisis developed.
♦ Add greed and excesses from an over aggressive financial market full of mortgage brokers, publicly traded banks, mortgage banks, insurance companies, and other financial institutions that began to trade wildly in packages of mortgage loans.
♦ Add greed and excesses from a greedy public full of speculators that tried to make the "quick buck" from "flipping" properties.
♦ Add greed and excesses at the top levels of executives and boards of directors for Wall Street firms and financial institutions.
♦ Add a general weakening in the quality of jobs and pay level of the average blue collar workers as industry left the country as a result of poorly conceived international trade deals. Household incomes fell as the female became unemployed and eventually was eliminated from labor force statistics. These declines made these families less capable of making loan payments.
♦ Add ever increasing taxation, cost of essentials, and cost of gasoline to the declining family disposable incomes, and more loan payments become delinquent.
Finally a day of reckoning comes!
What will happen if our Congress fails to react?
Most factories, retail chains, auto dealers, wholesale suppliers, farmers, firms with large payrolls, and countless numbers of other types of businesses rely on credit to maintain their liquidity and cash flow. Without this injection of cash when needed, they will not be able to function. They will be forced to severely cut back or close their businesses. This will create unemployment levels that could soar to 20% or more of the labor force. Government revenues would fall dramatically. Even governments would begin to lay off employees or would default on their payrolls. (In Russia during their financial crisis at the fall of the Communistic rĂ©gime, government workers there worked for years with no pay.) Even social security checks could stop since government would have no revenues. We would fall into a severe depression with almost no economic activity……I do not want to experience this!
This is the time bomb those loonies are playing with!
What is the status of lending in Jackson County at this time?
This morning I had a lengthy and informative conversation with one of the leading bankers in our area. I asked him what the status of loans availability was in our community, and what aspects of lending has changed since the "greed seed" led to this "eruption of corruption".
First, he said that loans are readily available. Cars, boats, appliances, home equity loans, and most other types of loans can be acquired. Banks have enough liquidity to make loans, after all, they are in the loan making business. In fact, some funds are being added to savings accounts and bank CD’s as people flee from the wild cycles of the stock market. Also, most people with significant amounts of funds are distributing these among several banks in order to get all of their monies under the FDIC insurance umbrella.
However, you will be expected to put down a significant portion of the intended purchase up front, normally 15-20%. Those 100% and 110% car loans are not out there any longer. Also you must demonstrate that you really do have a job and exactly what your earning and reserves are. All loans will have to be completely collateralized and secure.
While credit has been tightened on private citizens and businesses, it has also been tightened within the banking system itself. Previously, banks could exercise a line of credit from other banks or from the Federal Reserve on an unsecured basis. A bank might have a ten million dollar unsecured line of credit available to it to meet any liquidity needs that might arise if it issued numerous large loans. Now, banks are only able to obtain funds on a secured loan basis. This means they must have liquid assets and securities on hand that can be pledged if they need to borrow against their line of credit. This requirement makes banks be more selective in their choice of who to loan money to.
"Essentially, banking practices have returned to the way it was thirty years ago", he proclaimed. "And really, I feel this approach is ultimately best for our country".
Rudiments – Odds and Ends Worth Mentioning:
♦ Only 30 days until election day! We need astute leaders now more than ever before. Vote wisely and you will be "Getting It Right".
Note: The opinions stated in this column are solely those of the author and do not represent those of Hatcher Publications.