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RE: Expect The Credit Market To Freeze Again, Leading To An Economic Meltdown. By Gregory Mannarino

in #money7 years ago

There is 2 problem with you plan, at least 2 that I can see.

  1. The debt would be sold to the next business to do collection so it does not matter if the card/mortgage co. go out of business.
  2. The Liberals have already passed a bail-in clause for banks sneaked inside a bigger bill. IIRC all bond holders will become shareholders, so the bank go under and no collection case is very unlikely.

OT. In fact bank bonds are mainly sold to pension fund, insurance company etc. The consequences of bailin is going to screw a lot of retiree / insurance policy holder.

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Yes, as I said, you will be dealing with the next business, or maybe even the one after that ...as the charge off accounts are still valid debts until settled in a court of law. The one thing that is for certain is that the new businesses that now own the rights to collect on your loan paid a discount for that "privilege"...so let the negotiations begin. If tehy don't actually take you to court before another entity starts calling it has "likely" been discounted again. If the first debt collector gave up on you, I'm "confident" the second and third will too. Take "comfort" in knowing you weren't even worth taking to court...and be proud of it! :-)

As far as the second part goes we'll see what the "spoils" are worth. I figger Bank of America will still be looking to liquidate their real assets at a tremendous discount just to stave off their bankruptcy. Things will really have to go to shit if teh bondholders are going to assume discounted assets as a "proxy" for the price of BAC stock. It'll take them 3 years to sort out your mortgage for instance. 3 years of free rent. That's "if" you have the guts to screw a banker in the ass like they screwed you. How many payments on your $250K house will it take to buy your next door neighbors $250K house in cash at an 80% discount to the current price. I can tell you when to stop paying on your mortgage. But this spew will need to earn at least $100 first. This info-may-shun is worth waaay more than most of the shit you see here at steemit.

Ooops, I see that your reply was directed to @pocketchange. I already explained to him why his plan is "flawed" but I don't think he yet understands the "reality" of falling prices for everything. So I'm sure he will continue to spew the "coins for tots" plan until he gets the rude awakening that a 1 dollar coin buys you 25% more than what it buys you right now. ...just becuz the world will "clamor' for your dollars. So holding coins is not a bad idear. The old coins which are works of art will likely lose value becuz they are priced as "investments" right now by the same idiots still looking to sell homes in teh cramped in Hamptons for $9 million. Those clowns are also pricing collector coins. So collector coins aren't a good idear either I would imagine. The windup? Pocketchange's idear is fine with me...hold your everyday U.S. minted coinage...gain 25% over the next 12 to 18 months...plus in 2 years the house next door is selling for half the current price! ...or less! :O I'm actually "shocked!" I don't have more followers. My America is gonna rock!