Wednesday, December 17, 2008
Fed Rate Cut Does Not Matter to the Average
The fed's just cut the interest rate again. This time to 0% - .25%. After thinking about this and waddling in ignorance I have the following questions:
How does this help the average man/woman who may have a ding on their credit report? I ask because people are applying for loans - but they are getting denied because of a ding that is the result of a bad economy e.g. job lost, one late payment, salaries lowered, etc.
Seems to me that if the idea is to help the average man/woman (there are more of these folk in America), how do the federal government expect for them to get ahead or reestablish if they cannot secure the much needed loans e.g. home re-finance loans, first time home buyer loans, business loans, modest car loans, etc. to jump start their efforts to get back on their feet?
Who is really benefiting in this new 'socialist' economy? It ain't the car workers in Detroit. It ain't the men/women who have been unemployed for months/years. It ain't those who are looking to purchase a home: they (the American people owned banks) want 20% down and a 750 plus credit score. Who has that
topnotch FICO score today among the average folk I have discussed?
Written by Brian E. Payne. Inspired by a citizen who is part owner of the banks that refuse to give him and other Americans loans.