What Happened to Ruin Trust Between the Bankers and MainStreet?

"History records that the money changers have used every form of abuse, intrigue, deceit, and violent means possible to maintain their control over governments by controlling money and its issuance."
President James Madison

Banks (called money changers when usury is ignored)  have abused people from time to time in history. The Revolutionary War was fought because the British took away the money of the colonists and required them to borrow from the bank of England. Ben Franklin said that taxes were not the central reason for the war. Rather the unemployment that came from the need to borrow from the bank of England was central to the conflict that established the USA. Interesting that the May, 2009 credit card law did not cap interest rates. The congress has become a facilitator for banking abuse. They abdicated power to the banks. I have many links here proving this.
It is true that banks generally are to be trusted to lend, underwrite and profit in a fair manner. However, many times in history that fair behavior by banks has proven to not have been the case. For example, the agrarian movement of the 1890's was a populist movement. While populism was a rebellion against tight credit, the populism of our time must be a rebellion against loose credit and usury. The early movement to establish loose credit and freedom for farmers resulted in coops for doing business as well as credit unions.
This rebellion against bankers was important in creating economic growth. Today, the bankers have actually abused the consumers of the United States and the world with easy credit, but this is not an ordinary garden variety easy credit. It was an easy money that was doomed to failure. The toxic loans of the early 2000's were doomed to failure the minute they were written. Folks like David Lereah of National Association of Realtors were saying that real estate always, or nearly always goes up. Real estate agents and mortgage lenders were saying that real estate would go up and you could refinance into a fixed loan in a few years. Then the bubble burst.

What Happened to Ruin The Banker/Consumer Relationship of Trust?

There were two major reasons for this easy money wave that broke the trust of bankers. The class warfare actually came from the top down. The banking class actually attacked the consumer in a stealth plan to deceive the consumer. They perhaps didn't realize that they were going to seriously wound the golden goose of world prosperity, the US consumer. Or perhaps they wanted a world bank with consolidated control and figured it was worth the risk to take down the economies of the world for awhile. I don't know the answer to that one yet, but I am observing.
Certainly the terrible ability of employers and insurance companies to look into credit records is an abuse of power set up by and for the banks, eroding privacy of the consumer. The banks wanted this power as a motivation for people to pay their bills no matter how much they are abused. In this  bank abuse, banks could care less about the insurance companies and the employers! Read my lips reader: Banks are greedy!! They not only leverage money but obviously seek to leverage POWER.
But I digress. Clearly the banks hatched a plan at Basel 2 in Europe in 1998 to allow off balance sheet shadow banking. Without this ability there would have been no way to allow shoddy underwriting, where a homeless man could own multiple houses in Florida. While this shoddy underwriting was going on, the banks were selling bonds made up of slices of the mortgages, called Collateralized Debt Obligations, or CDO's all over the world. The ratings agencies rated these bonds as being AAA when they were dangerous bonds that could not hold their value. Investors worldwide were scammed.
The borrowers were scammed. And the government regulators looked the other way. This scam is breeding a new populism of walking away from loans that banks had no business giving to people. These loans, known as no doc, interest only, liar loans, option arms, pay option arms, etc., were loans doomed to failure but which made the Goldman Sachs' of the world rich beyond imagination. Peripheral scams related to this scam include interest only commercial loans, and the raiding of the treasury and taxpayers by Paulson and Geithner for bailouts of the banks.
The second major scam was the credit card scam. The credit card companies have always attempted to bypass usury laws, and gained a foothold in South Dakota to establish rates higher than 12 percent. But the excesses were moderate, generally, in the past. However, banks got greedy. They realized that hidden fees, higher rates and abuse of the consumer would make them money in a time that they were facing headwinds from customers walking away from other bad loans.
So they have abused consumers right at the time that consumers need free money to spend to help the economy to recover. Are the abusive banks patriotic? No they are not. Actually I have come to the conclusion that they are above the sovereign nations and are not interested in the interests of the people. Their greed has risen to just aweful heights. I have links here that show more about the true nature of bank abuse and that protest bank evil behavior. 
I have given you other great links here to study if you wish to learn more about walking away from your debt and or from doing business with the major banks. I hope you would take the time to ponder to my arguments and decide for yourselves how you want to do business with the big banks and handle the debt you have with them. I am not a financial planner or a lawyer. I understand that for some people, hurting your FICO score would hurt your ability to get a new job or even certain places to live. But these extraordinary times call for protest. These are the steps I hope you would take, even if it you can only take one of them, to fight the banks and establish a new populism.
1. Walk away from too much house and too much house loan.
2. Take your money out of the big banks and keep it in a secret place or put it in a credit union.
3. Slow or stop your credit card payments.
4. Change your phone number and make it unlisted if you stop payment.
5. Go to protests of bank abuse in your area. There may be more in the future.
6. Don't borrow. Try to get by without borrowing at all costs.

Disclaimer: I am not a lawyer and this protest is not meant to be construed as being finanacial advice. Walking away from your house can affect your credit score negatively as well as possible recourse laws that vary state by state. These could cost you additional money in addition to losing your house. Not paying credit cards can affect your credit score as well.


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