Here's some Straight Talk: We have only made 2.5% from our safe Commercial Bank Money Market Fund..

[KoKo]

for the past three years. We didn't put money into "Investment Bank's Money Markets" because even though there was a higher rate of return...our funds were NOT FDIC SECURED. We chose to go with various Commercial Banks who would guarantee our interest ...paltry as it was...so we would have SECURITY of FDIC in case some dire circumstance occurred.

Let me make it plain...We are daughter and song of Depression Era Parents who were always skeptical of "quick schemes" and prefered "secure" over "casino" style investments. Both our families worked their way through college during Depression and had scars from that they never got over.

Anyway, with inflation running 7% and above (many bear forcasters say it's closer to 12% but the statistics say it's 7%...it means we are Losing money in our Money Market Account with our Commercial Bank which guarantees our money.

What Paulson is proposing is that those who put their money in "Investment Bank Accounts" like what our broker Smith-Barney and Goldman and J.P. Morgan were offering for a much higher return that might have protected us from "inflation" and given us 10 to 12 percent for our cash deposits are now going to be allowed to get FDIC INSURANCE. INVESTMENT BANKS were NOT ALLOWED to be under the FDIC Umbrella. You TOOK THE RISK and the GOVT. didn't insure it.

We didn't take the risk and got paltry return that didn't even match inflation and yet now Paulson and Bush want those folks who "risked their capital at the Casino" to enjoy the same protections that WE GOT for our Paltry Interest Rate of 2.5% to be extended to the Fat Cats who got 10% for taking RISK?

You GOTTA BE KIDDING ME! :grr:

[sandnsea]

1. It's worse than that

He wants to let banks use YOUR money to bail out the people who invested in the high risk mortgage scheme. Not only does he want to insure their accounts, he has suspended the rules that made it illegal for banks to use depositor money to cover investment accounts.

That had to be done for BofA to buy Merrill Lynch.

[JDPriestly]

6. Thanks for that post. Do you have a source for the information

about the suspension of the rule? Any link?

[sandnsea]

7. Here's one

http://firedoglake.com/2008/09/15/as-the-markets-plunge-bernanke-and-paulson-gamble-depositors-money/

[2Design]

2. if dem congress votes for this stick up - they can stick it up n/t

[screembloodymurder]

3. No deal !

x(

[Citizen Kang]

4. Get out of that Money Market fund

Do it while you still have the chance. Put it in an FDIC insured savings account or CD, the interest rates are about the same and your money is insured. Open several accounts if you have more than $100,000.

[KoKo]

9. I DO have it in an FDIC insured Commercial MMF...at low rate...that was the point of my post!

:eyes: It was those "high rollers" who put there stuff in "UNINSURED MONEY MARKETS" for a Higher Risk (NON-Insured) Money Market account that Paulson wants to now put under the FDIC INSURED UMBRELLA!

I could have invested RISKY and NOW would be BAILED OUT! with Paulson's proposal... That's the point of my post. I didn't take risk and lost return on my hard cash...Risk Investors got high returns with no FDIC Insurance...but Paulson now makes their investment the same as mine by allowing them to get the FDIC to BAIL THEM OUT! :puke: I lost money while these folks MAKE MONEY because Paulson is giving them what I sacrificed to make a paltery 2.5% while they were making 7% and above on RISK that was NOT FDIC INSURED!

[CountAllVotes]

12. what this does is ENCOURAGE more gambling on Wall Street

so much for ethics huh?

Damn, it sickens me!

The honest guy loses again and the crook is rewarded after being caught!

:wtf:

[prayin4rain]

17. Money market accounts

are insured.... money market funds typically are not convered under the FDIC, although they are temporarily as people were scared to leave their money in the fund.

[JDPriestly]

5. You are not alone. We are in the very same boat.

That's our savings that they are using to bail out the bankers' bad investments. And to boot, our houses are losing the value that they made us think they had gained.

This is another screw you, Baby Boomers. The attitude is that we are all a bunch of worthless crybabies. Absolutely false. We worked just as hard as any other generation -- and unlike our parents raised our children in many cases with two working parents -- saved just as hard, and were very good to our children and parents.

And now -- this is what the Republicans with their "free market" theories have done. They have spent like drunken sailors on that stupid War in Iraq and have nothing to show for their spree, and to pay for it, they are taking our savings and giving -- to themselves.

[KoKo]

13. I know...and if McCain and Caribou Barbie win...we might need to give up our SS that we paid into.

because the market might be so bad they will declare we need to GIVE UP our SS that we had deducted from our wages that Govt. invested for us, to push us into the 401-K's where they will tell us our last investments will grow!

How much time do we Boomers have left to have our investments "grow" when Bush is leaving us with Deficits and Debt out the ying, yang? :shrug: But, they will tell us we have to "sacrifice" because the country is in CRISIS. Yeah like "Mushroom Clouds and WMD that Saddam was going to send us." :puke:

[JDPriestly]

15. I was around 14 years old when I got my Social Security card.

We paid into Social Security for many, many years. This crisis is so unfair to people who, as the Democratic cliche goes "worked hard and played by the rules." We are the victims.

[CountAllVotes]

8. this bails out the ones that were getting the all of that interest

while folks like you and I had/have our money in FDIC insured money market accounts. Mine is now paying ~2.0% I think.

It seems that the winners in this deal might be the ones that took the gamble to begin with.

Something sure stinks to high heaven doesn't it?

Believe me, you are not alone!

:mad: :grr: :argh:

[KoKo]

10. I know...your emoticons say it all....It's disgusting what they did to us real SAVERS...

to bail out their Casino Buddies! :puke:

[DustyJoe]

11. Yep

While they charge 15-30% to use a credit card, makes sense huh ?.

[KoKo]

14. Credit Card interest for average American is more than the 12% Paulson is charging the failed AIG,

Fannie and Freddie and the other Bail Outs! How can that be? And add in the interest we pay on their increading our National Debt Ceiling to get this Bailout and what is the interest rate the taxpayers will ever get back for giving up our money to do this BAIL OUT?

It makes no sense...

[daleo]

16. Figure out where the well connected rich put their money

Then put your money there too. That way, no matter what happens, the government will take care of you with a bailout.

With this little bit of wisdom, anyone can be a successful financial advisor.