Brilliant US government didn't collect FDIC insurance for 10 years. Shortfall...

Discussion in 'Politics, Religion, Social Issues' started by Unspeaked, Mar 11, 2009.

  1. Unspeaked macrumors 68020

    Unspeaked

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    West Coast
    #1
    LINK

    So despite multiple requests from the FDIC, the government failed to collect any insurance payments from US banks from 1996 to 2006 (10 years!) because Congress "believed that the fund was so well-capitalized - and that bank failures were so infrequent - that there was no need to collect the premiums for a decade."

    I don't know whether to laugh or cry.
     
  2. atszyman macrumors 68020

    atszyman

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    #2
    Maybe we should have gone with a commercial insurance company... miss one payment and good luck cashing in a policy. Of course they'd go out of their way to find loopholes to not cover banks when they failed but at least they'd have collected all the payments...

    And this is the US government for God's sake, when has there ever been any program well capitalized, and yet the monies weren't shifted to cover shortfalls elsewhere?...

    My vote is for crying...:(
     
  3. Unspeaked thread starter macrumors 68020

    Unspeaked

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    #3
    If you read the article, you'll see there's no need to cry. The FDIC is simply going to borrow $500 billion from the government.

    (What's another $500 billion, anyway? Peanuts!)
     
  4. iJohnHenry macrumors P6

    iJohnHenry

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    #4
    Translation: the lobby groups got to us. Sorry.
     
  5. leekohler macrumors G5

    leekohler

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  6. Unspeaked thread starter macrumors 68020

    Unspeaked

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    #6
    I think I've finally figured out how to solve everyone's problems: the government should just issue a statement saying it's perfectly alright for any and all Americans to take a Sharpie and add a zero to any and all currency.

    How poor will we be when our lowest denomination bill is ten bucks?!

    (It's basically the everyman's version of the bailout.)

    Am I onto something or what??
     
  7. iJohnHenry macrumors P6

    iJohnHenry

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    #7
    Money used to based on something tangible, grain, gold, cumquats, whatever.

    Now is is based on nothing.
     
  8. Unspeaked thread starter macrumors 68020

    Unspeaked

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    #8
    Fine, two zeros.
     
  9. rdowns macrumors Penryn

    rdowns

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    #9
    And here I was enjoying 2 up days in a row in the market.
     
  10. mactastic macrumors 68040

    mactastic

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    #10
    Must be the market's faith in Obama's policies.
     
  11. Unspeaked thread starter macrumors 68020

    Unspeaked

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    West Coast
    #11
    I'm sure the fact Citigroup might make a profit had nothing to do with it...
     

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