American Consumers Cutting up that Final Credit Card: The End of a 30 Year Consumption Era and the Nervous Breakdown of the Spending Psychosis.
Imagine sitting in a messy room. Chopped plastic all around you as you sit there clasping a set of red scissors.  Only one more credit card sits in the middle of the room starring back at you. Can I do it you ask? Is it possible to go forward in life with no credit cards? […]
American International Group: AIG Founded in Shanghai China in 1919. Who are we Bailing out Here?
American International Group, AIG was founded in 1919 by Cornelius Starr who established the agency in Shanghai, China. The business took off and was very successful in Asia. Later, Starr expanded the company to Latin America, Europe, and the Middle East. It is fascinating how many in the media are portraying AIG as some homegrown […]
Homeowner Affordability and Stability Plan: California and Florida you are Financially on Your Own.
I was cautious about the details in the new Homeowner Affordability and Stability Plan which was announced on Wednesday. It is going to use $75 billion from the additional $350 billion in TARP funds while accessing the $200 billion in backstops to Fannie Mae and Freddie Mac. Yet one key point, and probably a reason […]
Bank Charge-off Rate Highest Since 1992 for Commercial Banks: Credit Cards, Revolving Debt, and the Contraction of Credit.
Charge-off rates are now at a 17 year high since commercial banks are writing off real estate loans, consumer loans, leases, agricultural loans, and other construction loans. The FDIC is going to be bombarded with hundreds of bank failures in the upcoming years simply because their balance sheet does not have the ability to support […]