"But under questioning from panel members, Geithner said that even if banks want to pay back the money, that doesn't mean the government would necessarily accept the payment.
"Ultimately we have to look at two things, one is do the institutions themselves have enough capital to be able to lend and does the system as a whole, is it working for the American people for recovery," Geithner said.""While credit conditions have improved in the past few months, "reports on bank lending show significant declines in consumer loans, including credit card loans, and commercial and industrial loans," Geithner said."
Riddle me this Batman... if there are banks that are solvent and don't particularly WANT to owe the federal government money, why shouldn't they be allowed to repay a loan?? The quick answer is to keep them under the government's thumb. Another riddle... if they have all of the federal money but yet aren't lending, then what is the problem?? The answer is that they are probably anticipating another government move that will totally screw them.
All I know is that banks are not lending money for automobiles, etc. like they used to and this has to be true in other lending ventures as well. A bank will not lend more than 80% of the price of the car, whether it is used or new.
SO, a final riddle True Believers (yes I know that quote is from Stan Lee and Marvel comics, but work with me), how is anyone going to have enough money to buy a car when a down payment for a $15,000 car would have to be $3000??