What happened to the end of bailouts Joe?

[Always in His Presence]

The Obama-Biden Bank Promise​

Believe it or not, Democrats once proclaimed the end of bailouts.​

Opinion | The Obama-Biden Bank Promise

Believe it or not, Democrats once proclaimed the end of bailouts.

www.wsj.com

Many readers may think that the greatest whopper President Barack Obama ever told was that if you liked your health plan you could keep your health plan. But we now have confirmation that there’s another leading contender, and in time the taxpayer cost of this one could be even greater.​

​

It was July 21, 2010 when Mr. Obama, who could have a cruel sense of humor, chose the federal building named after Ronald Reagan to celebrate a historic expansion of government power over Americans’ financial lives. To wild applause from his fellow Democrats, Mr. Obama signed into law something called the “Dodd-Frank Wall Street Reform and Consumer Protection Act.” Cheered on by Vice President Joe Biden at his side, Mr. Obama proclaimed:​

​

​

There will be no more tax-funded bailouts -- period.​

The new law “demands accountability and responsibility from everyone. It provides certainty to everybody,” he added.​

 

[Always in His Presence]

from the link:

But if the feds are really guaranteeing that taxpayers won’t pay a dime, what’s the point of a government rescue? The Treasury release adds:

Any losses to the Deposit Insurance Fund to support uninsured depositors will be recovered by a special assessment on banks, as required by law.

“Tax” is such an ugly word. “Special assessment” sounds much more pleasant. And who ends up paying more when the government imposes added costs on the banking system? Also, perhaps regulators can explain exactly why there must be unlimited insurance payouts to those whose accounts are only insured up to $250,000.

 

[Always in His Presence]

Obama official, Hillary donors, improv actor: Meet SVB’s board of directors

Among the 12 directors who were supposed to oversee fallen Silicon Valley Bank — and prevent the catastrophic errors on Friday threw the entire banking system into jeopardy — there’s only one…

nypost.com

One is a Hillary Clinton mega-donor who went to a Shinto shrine to pray after Donald Trump won the White House. Another worked for President Barack Obama before her own political career spectacularly failed. A third is a prolific contributor to Democrats, including Nancy Pelosi — who owns a Napa Valley vineyard just 15 minutes from the former House speaker’s.​

 

[essentialsaltes]

The Obama-Biden Bank Promise​

It was July 21, 2010 when Mr. Obama, ... celebrate[d] a historic expansion of government power over Americans’ financial lives. To wild applause from his fellow Democrats, Mr. Obama signed into law something called the “Dodd-Frank Wall Street Reform and Consumer Protection Act.”​

Dodd-Frank subjected banks with more than $50 billion in holdings to additional regulations, liquidity requirements and 'stress tests' to ensure their safety.

That $50 billion limit was lifted to $250 billion by President Trump and the GOP Congress (only one GOP Congressman voted no).

Trump criticized Dodd-Frank and “job-killing regulations” in signing the bill, which is officially known as the Economic Growth, Regulatory Relief, and Consumer Protection Act. He said of the bill’s supporters: “This is all about the Dodd-Frank disaster. And they fixed it, or at least have gone a long way toward fixing it.”

SVB's holdings were over $200 billion, but under the new $250 billion limit.

So Trump eliminated 'job-killing regulations' that fixed the problem of grasping 'government power over Americans' financial lives', thereby shrinking the promise that President Obama made, and restoring to all Americans the free market freedom of a bank failure like this!

 

[ThatRobGuy]

It's not really a fair critique if a successor removes the protective layers that were the backbone of ensuring that large bailouts wouldn't be needed.


If I were the head of a factory that had a problem with people getting drunk on the job and hurting themselves, and I corrected that issue by having mandatory breathalyzers before entering the shop floor and proclaimed "this is the end of alcohol related injuries in the factory" (and it was working). It wouldn't really be my fault if I retired and my successor came in, removed my rule, and instituted "Five Beer Fridays".

 

[Always in His Presence]

Dodd-Frank subjected banks with more than $50 billion in holdings to additional regulations, liquidity requirements and 'stress tests' to ensure their safety.

That $50 billion limit was lifted to $250 billion by President Trump and the GOP Congress (only one GOP Congressman voted no).

Trump criticized Dodd-Frank and “job-killing regulations” in signing the bill, which is officially known as the Economic Growth, Regulatory Relief, and Consumer Protection Act. He said of the bill’s supporters: “This is all about the Dodd-Frank disaster. And they fixed it, or at least have gone a long way toward fixing it.”

SVB's holdings were over $200 billion, but under the new $250 billion limit.

So Trump eliminated 'job-killing regulations' that fixed the problem of grasping 'government power over Americans' financial lives', thereby shrinking the promise that President Obama made, and restoring to all Americans the free market freedom of a bank failure like this!

Ah - Once again it is Trumps fault -

News flash - Joe Biden is the President - he has the ability to say 'No - I was part of an administration that said no more bail outs". He could have made a stand for what he supported just a couple years ago with his President.

sorry, not everything is Trumps fault - at some point Biden is going to have to put on his big boy pants and takes responsibility for his actions.

I'm sure his megga donors appreciate them not loosing any of the covid money they invested.

 

[essentialsaltes]

Ah - Once again it is Trumps fault -

OP asks a question:

What happened to the end of bailouts Joe?​

What happened was that the law that Obama passed [that might well have obviated any need for a bailout] was weakened by Trump, so that this bank was not subject to the additional safety measures.

 

[rturner76]

Ah - Once again it is Trumps fault -

It usually is, as he pays no taxes and shows the other members of the 1% how to not pay taxes on their billion while people earning $100,000and under pay all kinds of taxes.

 

[USincognito]

Ah - Once again it is Trumps fault -

Why is it so hard for his fans to accept that as the case?

 

[iluvatar5150]

from the link:

But if the feds are really guaranteeing that taxpayers won’t pay a dime, what’s the point of a government rescue? The Treasury release adds:


“Tax” is such an ugly word. “Special assessment” sounds much more pleasant. And who ends up paying more when the government imposes added costs on the banking system? Also, perhaps regulators can explain exactly why there must be unlimited insurance payouts to those whose accounts are only insured up to $250,000.

What would you prefer happen here? That a bunch of businesses lose their payroll money through no fault of their own? Only the depositors are being made whole, not the investors.

I'm not even blaming Trump (though the attempt to pin this on Biden is so asinine that it borders on dishonest). But the snarky tone suggests that you think these folks should just up and lose their money. Why?

 

[disciple Clint]

Trump did not write the tax code

 

[disciple Clint]

Why is it so hard for his fans to accept that as the case?

Why is it so hard for Biden to take responsibility for his own blunders?

 

[USincognito]

Why is it so hard for Biden to take responsibility for his own blunders?

What blunders?

(Can't wait for a talking point laundry list I can fact check...)

 

[disciple Clint]

What blunders?

(Can't wait for a talking point laundry list I can fact check...)

https://www.newsmax.com/bestlists/best-lists-biden-brandon/2021/11/23/id/1045873/

Here’s a List of Joe Biden’s Failures as His Approval Ratings Plummet

While President Joe Biden has accomplished several things during his first year in office, there's a long list of failures, which shows in his falling approval ratings.

marketrealist.com

 

[disciple Clint]

What would you prefer happen here? That a bunch of businesses lose their payroll money through no fault of their own? Only the depositors are being made whole, not the investors.

I'm not even blaming Trump (though the attempt to pin this on Biden is so asinine that it borders on dishonest). But the snarky tone suggests that you think these folks should just up and lose their money. Why?

Biden needs to accept some blame.

Biden's Policies Responsible for Persistent Inflation, 'Potential Banking Crisis,' Economist Says

The consumer price index, a key measure of inflation, rose 0.4% in February, according to the U.S. Bureau of Labor Statistics.

www.dailysignal.com

 

[USincognito]

https://www.newsmax.com/bestlists/best-lists-biden-brandon/2021/11/23/id/1045873/

Here’s a List of Joe Biden’s Failures as His Approval Ratings Plummet

While President Joe Biden has accomplished several things during his first year in office, there's a long list of failures, which shows in his falling approval ratings.

marketrealist.com

Newsmax? Yikes!
1. The fantasy that any withdrawal from Afghanistan would be as smooth as closing a former SAC base in CONUS simply was never going to happen. Since Pompeo had negotiated directly with the Taliban them taking over the country was an inevitability. Sadly ISIS-K was able to inflict 13 deaths on us as we left, but it was actually quite a success given that Americans and others who should have evacuated earlier waited until the last minute. 130,000 evacuated in a few weeks is a success by any measure.

2. No President has direct control over energy prices. We have a capitalist system and our oil and gas producers are private companies. They mention Keystone XL which had ZERO effect on oil and gas prices in 2021 since it wouldn't exist until 2024. Oil production in 2022 neared that of 2019 and we're going to exceed that in 2023.

3. Inflation has largely been demand and energy prices driven.

4. The immigration "crisis" is largely fueled by Article 42 which is a Covid policy of returning migrants to Mexico rather than to their country of origin. That's why there's been an increase in "contacts" that Conservisphere shriekers have mischaracterized as individuals. There are some individuals having 4 or more contacts as they are detained, dropped on the Mexican side, and then attempt crossing again.

5. The Covid section is laughable. President Biden made getting shots in arms a priority while the Conservisphere and traditional, apolitical anti-vax influencers amassed against him.

6. The "terrorists will be using Apache's against us" argument in this section is just embarrassing. The heavy, sophisticated equipment need parts and maintenance that they don't have access to. China's choice of target for target practice says nothing about our military readiness. The sniping at General Milley is just embarrassing culture was nonsense.

7. More Laffer curve nonsense from the usual suspects.

8. Police State? My favorite was Jim Jordan's whistleblowers that we now know weren't whistleblowers. They were just ex-employees with grievances and had watched to many crazy Rumble videos.

 

[iluvatar5150]

Biden needs to accept some blame.

Biden's Policies Responsible for Persistent Inflation, 'Potential Banking Crisis,' Economist Says

The consumer price index, a key measure of inflation, rose 0.4% in February, according to the U.S. Bureau of Labor Statistics.

www.dailysignal.com

For what? And why? Can you articulate an actual argument here? From that article:

“Not only did artificially low interest rates stoke inflation, but they also have facilitated a potential banking crisis,”

Those “artificially low” interest rates date all the way back to the financial crisis.

 

[Larniavc]

The Obama-Biden Bank Promise​

Believe it or not, Democrats once proclaimed the end of bailouts.​

View attachment 329043

Opinion | The Obama-Biden Bank Promise

Believe it or not, Democrats once proclaimed the end of bailouts.

www.wsj.com

Many readers may think that the greatest whopper President Barack Obama ever told was that if you liked your health plan you could keep your health plan. But we now have confirmation that there’s another leading contender, and in time the taxpayer cost of this one could be even greater.​

​

It was July 21, 2010 when Mr. Obama, who could have a cruel sense of humor, chose the federal building named after Ronald Reagan to celebrate a historic expansion of government power over Americans’ financial lives. To wild applause from his fellow Democrats, Mr. Obama signed into law something called the “Dodd-Frank Wall Street Reform and Consumer Protection Act.” Cheered on by Vice President Joe Biden at his side, Mr. Obama proclaimed:​

​

​

The new law “demands accountability and responsibility from everyone. It provides certainty to everybody,” he added.​

I'm going to go out on a limb....

......... oh, never mind. We all know how these posts go.....

 

[wing2000]

For what? And why? Can you articulate an actual argument here? From that article:

“Not only did artificially low interest rates stoke inflation, but they also have facilitated a potential banking crisis,”

Those “artificially low” interest rates date all the way back to the financial crisis.

...plus one small detail: the POTUS does not set interest rates.

 

[Fantine]

We had a law in place to prevent banks from making unwise investments and loans. It's the Dodd-Frank law, enacted after the financial collapse of 2008.

Trump, who legislated based on his own self interest, thought it was a terrible idea that banks couldn't make risky loans--to self-defined billionaire hoteliers and real estate developers, for example. And the second failed bank, Signature Bank, was described as a "go-to' bank for the Trump family.

How a Small Bank Became a Go-To Lender to the Trump Family (Published 2018)

Signature Bank’s close ties to the Trump and Kushner families have led to government scrutiny. New York regulators have opened an investigation.

www.nytimes.com

And so after he became president, he gutted Dodd-Frank for small banks, opening the gateway for risky investments in crypt-currency--and deadbeat hoteliers and real estate developers.

Finally, the FDIC is funded by banks, and they can prevent having their fees raised by policing their own members.

Perhaps you would like to make the FDIC "optional?" I wouldn't bank at an organization that wasn't covered by FDIC. Would you?

Yes, I have investments that aren't insured, but the money in the bank is in checking accounts--paying bills--or emergency funds. They cannot be at risk