Are consumer and business loans part of inflation?

[Anonymous]

As strange as this sounds it makes sense if the feds are fronting money to the banks to lend using loan notes as collateral. So if the banks can use fed money to issue loans there it's being printed out of thin air right? If so, our money really doesn't have backed value to it does it? Something I heard, trying to verify.

Either that or their going to pull it out of our taxes to bail out the banks. Coming out of someones pocket in one way or anther right?

Message Edited by ilovepizza on 09-08-2008 09:43 PM

[Anonymous]

Here is a cute video. I don't know enough about big bank lending to give creditability to it since all loans that I deal with are 100% backed by real funds. But the video is very entertaining either way. Does anyone know if this video talking about ratio of 9:1 is fictional or fact for some lenders? Seems kind of outrageous.
http://video.google.com/videoplay?docid=-9050474362583451279

Message Edited by ilovepizza on 09-08-2008 09:41 PM

[Anonymous]

The truth will come out eventually that most mmortgages made over the last few years were securitized TWICE or more each-

So printing you own money and loaning it to a copmany you basicly own so they can lend it- GENIUS

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ilovepizza wrote:
As strange as this sounds it makes sense if the feds are fronting money to the banks to lend using loan notes as collateral. So if the banks can use fed money to issue loans there it's being printed out of thin air right? If so, our money really doesn't have backed value to it does it? Something I heard, trying to verify.

Either that or their going to pull it out of our taxes to bail out the banks. Coming out of someones pocket in one way or anther right?

Message Edited by ilovepizza on 09-08-2008 09:43 PM

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