We are taking an approach that wants the banks to help the economy and whether it is ultimately good for a particular bank is secondary. Weak banks are being asked to do things that will erode their position.
L. William Seidman • A former senior regulator who presided over the savings and loan bailout. Many small banks are either choosing not to take the bailout money at all or are looking to give it back, noting things such as executive pay and other strings are necessary for big banks but too restrictive for them. • source
This policy is just inadequate. The first quarter is just going to be grotesque for the banks – and then we’re going to have to have this discussion all over again.
Chris Whalen • A managing director at financial research provider Institutional Risk Analytics, on Treasury Secretary Timothy Geithner’s bailout plan, which proved to be highly unpopular on its announcement. • source
Our challenge is much greater today because the American people have lost faith in the leaders of our financial institutions, and are skeptical that their government has – to this point – used taxpayers’ money in ways that will benefit them.
Timothy F. Geithner • Treasury secretary, who will announce a bailout plan for the banks today. • source
Let’s face it, Larry, we are in a depression. If they didn’t do the bailout, you would be in depression No. 2 and maybe just as big as depression No. 1, so they really had to do something.
Donald Trump • talking to Larry King about the economy and the banks. Trump says that the executive salary caps are necessary and that the big problem is that banks aren’t loaning out their bailout money and instead are using it for other things. • source
The numbers suggest it. Just before the economic collapse that required hundreds of billions of dollars in bailouts, banks were attempting to hire foreign workers en masse, an Associated Press investigation recently found. The dozen banks getting the biggest chunks of the $150 billion set aside just for them applied for 21,800 visas in the last six years. That number only increased over time; in fiscal 2008 alone, it was 4,163. source