The free market is the best way to hold businesses accountable. Healthy competition will force companies to make wise decisions, limit high risk deals, and protect their customers. The Financial Reform Bill squashes the free market and will give the government even more power to control Wall Street and ultimately main street.
It should first be said that even the congressmen who passed the 2000 page bill out of committee have confessed they are not really sure how the whole thing will play out. Once passed, the bill will go to the thousands of government employees sitting in cubicles to clarify the rules and develop enough paperwork to destroy all the trees in the Amazon. You wanted big government, you got it baby.
Here is what we know for sure. There will be many more regulations for the lawyers to salivate over. Companies providing financial services will be paying higher taxes and fees. The Federal Reserve already controls the flow of capital to the banks for lending, but the process will now be more limiting.
Basically, the state will run the banking industry. This is great news for Wall Street (they will never be allowed to fail), and as usual, bad news for main street. This will continue the decline of the smaller banks. They will either die or be eaten up by the Wall Street boys. We, the little people, are promised "consumer protection".
Consumer protection is a misnomer. There are only two reasons we need protection - first we don't read, and second we make dumb decisions. This bill promises no more "hidden charges". There were never any hidden charges to begin with, everything is spelled out in financial documents. The small print and the numbers of pages was the problem. America - start reading! It's ironic that the bill is 2000 pages. The government, just like the banks, know we will never read it and just trust them to take care of us.
Americans love credit. They knowingly signed on to higher rates just to get the cash. It was unwise for many to do so. It was also unwise for the banks to lend to people unable to pay it back. Try to get credit now. The banks have learned their lesson and the people are cutting up their credit cards like mad. This is the free market is working. Do we really need a huge government intrusion to muck up the works?
The bottom line for us is a more complicated credit system and more fees. If you think the fee system at banks is ridiculous now, just wait. Free checking will be a thing of the past and who knows how many more fees will be passed on to us. All this in the name of "reform" and "consumer protection".
The economy is like the weather. It comes in cycles. We're all responsible for the recent economic bust. A free market economy will correct itself. These reform initiatives from the government at best will slow the recovery. At worst, will bury us so far in debt that money will never flow for the finer things in life again. As the government takes more of the pie, the people will have less to spend. Welcome to America, Mr Marx.
It should first be said that even the congressmen who passed the 2000 page bill out of committee have confessed they are not really sure how the whole thing will play out. Once passed, the bill will go to the thousands of government employees sitting in cubicles to clarify the rules and develop enough paperwork to destroy all the trees in the Amazon. You wanted big government, you got it baby.
Here is what we know for sure. There will be many more regulations for the lawyers to salivate over. Companies providing financial services will be paying higher taxes and fees. The Federal Reserve already controls the flow of capital to the banks for lending, but the process will now be more limiting.
Basically, the state will run the banking industry. This is great news for Wall Street (they will never be allowed to fail), and as usual, bad news for main street. This will continue the decline of the smaller banks. They will either die or be eaten up by the Wall Street boys. We, the little people, are promised "consumer protection".
Consumer protection is a misnomer. There are only two reasons we need protection - first we don't read, and second we make dumb decisions. This bill promises no more "hidden charges". There were never any hidden charges to begin with, everything is spelled out in financial documents. The small print and the numbers of pages was the problem. America - start reading! It's ironic that the bill is 2000 pages. The government, just like the banks, know we will never read it and just trust them to take care of us.
Americans love credit. They knowingly signed on to higher rates just to get the cash. It was unwise for many to do so. It was also unwise for the banks to lend to people unable to pay it back. Try to get credit now. The banks have learned their lesson and the people are cutting up their credit cards like mad. This is the free market is working. Do we really need a huge government intrusion to muck up the works?
The bottom line for us is a more complicated credit system and more fees. If you think the fee system at banks is ridiculous now, just wait. Free checking will be a thing of the past and who knows how many more fees will be passed on to us. All this in the name of "reform" and "consumer protection".
The economy is like the weather. It comes in cycles. We're all responsible for the recent economic bust. A free market economy will correct itself. These reform initiatives from the government at best will slow the recovery. At worst, will bury us so far in debt that money will never flow for the finer things in life again. As the government takes more of the pie, the people will have less to spend. Welcome to America, Mr Marx.