Wake Me Up Please

I obviously must have dozed off and need someone to pinch me so that I would wake up. I simply can not understand the current trend of our government in trying to resolve our economic problems.

Since the beginning of the year I have witnessed the federal government intervene in so many private and corporate company concerns that I feel I must have been instantly transferred to one of the 60’s soviet bloc countries where socialism is welcomed with open arms. Nowhere in our history has the federal agencies been so quick to latch onto our auto industries and banking facilities. They are able to accomplish this by merely offering the corporations a bale out sum of money. Even after acceptance of the funds it is no guarantee that Uncle Sam will not take and force the agency into bankruptcy.

It is almost as if someone is deliberately attempting to kill our capitalistic process. No longer are the stockholders in charge of the affairs of a company but rather the CEO is now Mr. Obama. After wasting a considerable amount of taxpayer money GM and Chrysler is still going bankrupt therefore I ask you what did Obama accomplish other then placing America deeper in debt.

The latest course of action being proposed and instituted by this socialist President is control of the credit cards. Even banks can not regulate their own credit card rates now for Obama has been actively pushing for a credit card rate hold. If you have a credit card you might be inclined to appreciate this attempt however let me explain how this is destroying the very fiber of our capital establishment.

Previously banks and loan companies could estimate the amount of bad accounts that they would have by reviewing the unemployment figures. These crucial numbers would allow the bank managers to control the amount of loans being made so as to keep the bank solvent.

According to the estimates that have been established by the federal government the amount of credit card loses experienced by the banks may reach $142 billion by the year 2010. It is important to remember that as employment slowly worsens the credit card loses will quickly escalate to higher levels of failure. Credit card charge offs will be drastically increased in the near future due to the missed payments the consumers are about to forgo.

Now to make the situation even worse for the banks Obama has placed before the nation’s lawmakers a proposed bill that would instigate a completely new set of new consumer protections aimed towards credit cards. These rulings if passed could have a very devastating effect upon the banks profits. The Senate will take up the issue of the Credit Cardholder Bill of Rights since it has now passed the House with a huge margin.

President Obama has been pressing the lawmakers towards approval of this bill which in effect would curb the ability of the card issuers or banks to raise interest rates on the consumers and also require them to reduce any hidden penalties and fees they may have.

Don’t get me wrong as I do not feel sorry for the banks or loan agencies in the least as I feel they wrongfully took bailout money from Obama and misused it however I do care greatly about my country and I feel that this bill would not in any way help the economy. Once again we have an inexperienced politician playing president without all the talents and abilities needed for the job.

Mr. Obama would be best to let the economy struggle as it may, until such time as it balances itself out, then rebuilding may be able to be successfully begun.