Occupy Bay street | Page 9 | GTAMotorcycle.com

Occupy Bay street

lucky2 said:
From another forum i'm on.
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Ya, more than a few holes in that one.

How can a bank give you money for a house when it "doesnt exists"?

Someone built that house and needs to get paid for it. When they recieve this money, and they spend it, how does it differ from the "real" money you use to pay back the loan?
 
lucky2 said:
In this world we have a thin called fractional banking. Basicaly it means they only have to have $25 on hand for every $100 they lend, in the USA its only $10 of every $100.
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In this world we have people who understand economics, people who dont, and people who think they do. Unfortunatly the group who think they do is far too large.

If the banks printed 75 out of every 100 dollars they lent out, this hyperinflation think im sure you have been told about would have happened 40 years ago.
 
01cbr said:
Ya, more than a few holes in that one.

How can a bank give you money for a house when it "doesnt exists"?

Someone built that house and needs to get paid for it. When they recieve this money, and they spend it, how does it differ from the "real" money you use to pay back the loan?
Click to expand...

I think what they're trying to get at is the bank doesn't have the cash on hand to cover the debts it has outstanding. It does have property and other securities. The problem arises when the presumed current and future value of the securities ( your house and other debts such as other people's bad mortgages ) isn't there and someone wants the money that the bank has extended to cover their own position. For instance, you give a mortgage to a homeowner based on a $500k house that really is only worth $400k with very favourable interest rates (zero actually) which continues to falsely inflate the house prices. Some people in the banks realize that a bubble is occuring and the bank may not be able to get back the apparent value of the house (if you walk away because you can't afford the mortgage, the house prices suddenly deflate and the bank has less security than it has lent) and it repackages and sells this bad debt to other banks who buy it up hoping the long-term will make them their money back. They distribute the bad debt to a lot of other people.

So who is not doing their due diligence here?? Can a homeowner expect a zero-interest loan with fixed payments to last forever? Can the bank lend them the money in good conscience knowing they likely won't be able to continue to afford the mortgage after a year? Can the banks buying the distributed debt be held responsible when they didn't investigate or know what the debt was and how would likely perform? There was a lot of betting going on and everyone got burned..
 
invictus43 said:
I think what they're trying to get at is the bank doesn't have the cash on hand to cover the debts it has outstanding. It does have property and other securities. The problem arises when the presumed current and future value of the securities ( your house and other debts such as other people's bad mortgages ) isn't there and someone wants the money that the bank has extended to cover their own position. For instance, you give a mortgage to a homeowner based on a $500k house that really is only worth $400k with very favourable interest rates (zero actually) which continues to falsely inflate the house prices. Some people in the banks realize that a bubble is occuring and the bank may not be able to get back the apparent value of the house (if you walk away because you can't afford the mortgage, the house prices suddenly deflate and the bank has less security than it has lent) and it repackages and sells this bad debt to other banks who buy it up hoping the long-term will make them their money back. They distribute the bad debt to a lot of other people.

So who is not doing their due diligence here?? Can a homeowner expect a zero-interest loan with fixed payments to last forever? Can the bank lend them the money in good conscience knowing they likely won't be able to continue to afford the mortgage after a year? Can the banks buying the distributed debt be held responsible when they didn't investigate or know what the debt was and how would likely perform? There was a lot of betting going on and everyone got burned..
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What im getting at is there is a difference in what actually caused the housing market crash/financial crisis and the "New world order" keeping society in its place by controlling the world money.
 
invictus43 said:
I think what they're trying to get at is the bank doesn't have the cash on hand to cover the debts it has outstanding. It does have property and other securities. The problem arises when the presumed current and future value of the securities ( your house and other debts such as other people's bad mortgages ) isn't there and someone wants the money that the bank has extended to cover their own position. For instance, you give a mortgage to a homeowner based on a $500k house that really is only worth $400k with very favourable interest rates (zero actually) which continues to falsely inflate the house prices. Some people in the banks realize that a bubble is occuring and the bank may not be able to get back the apparent value of the house (if you walk away because you can't afford the mortgage, the house prices suddenly deflate and the bank has less security than it has lent) and it repackages and sells this bad debt to other banks who buy it up hoping the long-term will make them their money back. They distribute the bad debt to a lot of other people.

So who is not doing their due diligence here?? Can a homeowner expect a zero-interest loan with fixed payments to last forever? Can the bank lend them the money in good conscience knowing they likely won't be able to continue to afford the mortgage after a year? Can the banks buying the distributed debt be held responsible when they didn't investigate or know what the debt was and how would likely perform? There was a lot of betting going on and everyone got burned..
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With the banks lending out lower interest, larger mortgages, more people could afford to buy, and to buy bigger. The higher demand did drive up property values.

REally these people should have realized they couldnt afford these homes, but really the bank shouldnt have lent them the money. Its just greet and ignorance on everyones part.
 
lucky2 said:
The Rothchilds (head of the Federal Reserve Cabal are worth over $500 trillion... They have rigged the system for the last 300 years by the Rothchilds.. Bought off US politicians and have destroyed the country/world...

I was told a long time ago (by a warrior in this battle) that this is a financial war between the people that have had power for the last 200 years and the people that don't want them to continue destroying the world..
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Right and they want to destroy the world so their 500 trillion is good for what? Paper to start fires in their caves?
 
lucky2 said:
In this world we have a thin called fractional banking. Basicaly it means they only have to have $25 on hand for every $100 they lend, in the USA its only $10 of every $100.
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Can you explain how they can constantly lend out 90 percent of their money and yet still have money to lend. Helooooooooo. Tin foil hat please
 
lucky2 said:
For those who don't support what these people are trying to do, here is the way it was put to me.

In this world we have a thin called fractional banking. Basicaly it means they only have to have $25 on hand for every $100 they lend, in the USA its only $10 of every $100.

So what than means, when you buy your house, and get stuck paying almost double because of intrest to the bank. You're paying intrest with your real money on a mortgage that was made up of 75% pretend money the bank never had in the first place.

So your real money goes to the bank who pays out to its stoke holders. And over 90% of the bank's stocks are owned by a few people, that hid behind a group of numbered companies so they can skirt stock ownership laws.

Bill Gates is no where near one of the richest people in the world. There are trillionaires out there who own the banking world getting richer and richer by the day. 1% of the population have 87% of the worlds money.

This is why billionaires like Warren Buffet have stood up and said tax the rich, because he knows there are rich out there paying nothing in taxes.

This is also the reason why the fair tax idea is gaining movement.

Do you know why the US is 14 trillion in debt? Because they don't control or own their own money. Its control by the Federal Reserve Bank, which is a privately owned bank. Every dollar the US prints starts with debt, because its loaned to the US with intrest, by the Federal Reserve Bank.

It wasn't always like this, fractional banking started in the early 1900's its a big eye opener as to how the average person was sold out buy the government for political gain. It also means things will have to get a lot worse before they get better.
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Did you also find out that we landed on the moon?

On a serious note, I'm going on the notion that nothing will change. Even if the most wealthy get taxed more, how much "wealth" do you think will get transferred? There's a system in place that's not going anywhere anytime soon and the 1000s of people sleeping in tents in the rain singing cumbaya aint gonna change a damn thing. So instead of whining like a bunch of hormonal females, I'm aiming to be one of the wealthy. The grass definitely appears to much greener. If I fail to achieve that it won't be the gov't, banks or the wealthy that I'll be blaming.
 
01cbr said:
With the banks lending out lower interest, larger mortgages, more people could afford to buy, and to buy bigger. The higher demand did drive up property values.

REally these people should have realized they couldnt afford these homes, but really the bank shouldnt have lent them the money. Its just greet and ignorance on everyones part.
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Yeah, I would agree with that to some degree. My brother the socialist immediately blamed the banks. I'm thinking, people could have chosen not to borrow so much against their homes. I see the same thing now with home equity lines of credit, which is basically a second mortgage. Banks are pushing these in Canada now and I'm not sure many people who get them understand what it's doing to their credit and their ability to change mortgage terms.

I watched a program and they were talking to people buying up desert land in Utah..their logic was, it's always gone up..we have to get in now. Those properties are nearly worthless now..
 
dizzy929 said:
Did you also find out that we landed on the moon?

On a serious note, I'm going on the notion that nothing will change. Even if the most wealthy get taxed more, how much "wealth" do you think will get transferred? There's a system in place that's not going anywhere anytime soon and the 1000s of people sleeping in tents in the rain singing cumbaya aint gonna change a damn thing. So instead of whining like a bunch of hormonal females, I'm aiming to be one of the wealthy. The grass definitely appears to much greener. If I fail to achieve that it won't be the gov't, banks or the wealthy that I'll be blaming.
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Glad to see you're trying to live the american dream. Unfortunately there's plenty of people that do work very hard and get nowhere. I wonder if you'd feel the same way if you had a disability that meant you couldn't work as hard perhaps? Maybe you'd be wanting those wealthy few that own the majority of the money to perhaps recognise that they are where they are because of the less well off working for them and purchasing their goods and pay some of these obscene amounts back into the system. These "hormonal whiners" have realised that, although life isn't fair, there should be equal opportunities for everyone and that simply isn't true. Small businesses ruined through crooked investors weren't bailed out but massive banks with billions of dollars in reserve were? This isn't just the poor vs the rich anymore, this really is everyone else vs the hyper-rich and that includes individuals and corporations.

I tend to think the opposite of the opinions on here, those people "whining" actually see what's happening as opposed to the rest of you that haven't realised that the "american dream" is really a massive work of fiction designed to keep you working hard to make the rich richer.

The situation is amplified in the US, their particular version of capitalism is different to ours but if you think the situation isn't slightly similar in Canada then I think you've had your head in the sand. One of the reasons our banks do so well is the way in which customers are treated here. If you've ever had a foreign bank account in another country you might realise that but if you haven't you'll just be happy paying your grotesque "account fees" every month and receiving practically no interest on your investments while also paying "service fees" to banks for the privilage.

You are right though, Canadians are apathetic to these things, except for some of the "hormonal whiners".
 
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