Senate May Vote This Week on $30 Billion Community Bank Capital Bill

"The only question is -- how soon can the Congress get this deal done? "

Actually, the real question is, when will Congress stop spending money it doesn't have to further destroy the economy?

"The potential 'deal' being $30 billion in new capital for community banks, who would then use it as a base to increase lending to small-sized/medium-sized businesses by up to $300 billion -- credit that's urgently needed and may prove to be a pivotal factor concerning the U.S. economic expansion's sustainability. "

Why doesn't this capital exist already? Real capital can only come from the savings of real people saving real money through real work. Anything else isn't capital, it's a farce. The government cannot create wealth out of thin air.

""If we can help the big banks, then we should certainly be able to help small-business lending," President Barack Obama said June 30, Bloomberg News reported. The Senate may consider the bill as early as this week; the program, called the Small Business Lending Fund, passed the U.S. House last month
The Independent Community Bankers of America (ICBA), which represents about 5,000 lenders, strongly supports the initiative."

Of course they do - it allows them to massively profit at taxpayers' expense - precisely what the big banks do everyday in collusion with Bernie and the Fed.

"Monetary/Economic Analysis: The program is structured so that its costs would be paid by banks, not by U.S. taxpayers. "

That's not an analysis; it's an uneducated guess (no offense, Mr. Lazzaro). The costs WILL be bourne by taxpayers once the inevitable loan defaults and write offs come through from people who should not have been approved for credit in the first place.

"The critique is that the program would prompt community banks to make loans that they would not otherwise make on a risk-analysis basis, but the reverse is closer to the truth: Too many small-sized/mid-sized businesses are being denied the loans they need to expand their businesses, and that's hindered hiring."

WHY are they being denied the loans they "need?" Is it because they are not credit worthy? Is the risk of their business to much for the small bank to bear? You cannot just throw out money to whoever comes along. Maybe that's a noble, albeit naive, goal, but it is not in line with economic reality.

This bill will do nothing but create another bubble which will once again pop. No one in DC learns anything, especially the current goons up there at the White House and in Congress (both sides of the aisle).

This is a terrible, bad bill. There is no defending it, unless you wish to make unfounded assertions like Mr. Lazzaro.

stop accusing others of uneducated guesses while being riddled with your own. that is the real, real question Mr. paul34. (no offense?)

Hi Jeff. I didn't mean any offense with my comments, as I indicated.

I'm curious - what parts of my comment did you take issue with, specifically, and why is that? I'm always happy to learn new things if they're based in logic and the real world.

WHEN IS GOVERNMENT GOING TO STOP RIPPING OFF THE AMERICAN TAX PAYER, THEY PUT MONEY IN THERE POCKETS FROM US, BUT THE TAX PAYER NEVER GETS A BREAK. EVER SINCE REGAN WAS IN OFFICE, THEY STEAL ALL THEY CAN AND THE TAX PAYER LETS THEM GET AWAY WITH IT. THE WAR IS JUST ANOTHER WAY FOR THEM TO GET RID OF PEOPLE AND STEAL MORE MONEY FOR THERE POCKETS.CHECK BUSHS POCKETS AND NOW OBAMA, AND LETS NOT FORGET CLINTONS AND DADDY BUSH. KILL OFF THE OLD PEOPLE AND THEY GET TO KEEP OUR SOCIAL SECURITY MONEY, THAT WE PAID INTO FOR 60 YEARS. AND STILL WORKING, THEY PUT MORE OF MY MONEY IN THERE POCKETS THEN I GET IN MINE, AND DON'T HAVE TO WORK A DAY FOR IT.