Just on the back of the Government helping out with an unprecedented purchase of insured mortgage assets designed to help out banks with liquidity and allow them to make profitable loans to consumers and corporate customers, they then jack interest rates and tighten policies on their credit cards. This is bad timing and really bad form for the banks. The government should step in as a condition of these mortgage purchases they have to keep their credit cards the same. Heading into the very important Christmas season the banks just sent a message to the public, slow your spending when the governments and our overall economy depend on consumers bringing their spending to normal levels during the holiday season.
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By Jason Dodd, November 14, 2008 @ 3:05 pm
Great comments, why do banks and lenders feel it is an opportunity to capitalize on the situation? This needs to be a time of collaboration and cooperation rather than one source dictating the cost and flow of money.
We should all buy bank stocks, they are making some great money. Tough to feel sorry for them for subprime losses when they are supposed to be the experts in mitigating and ascertaining risk. If anyone should have seen this coming it was the banks.