By Tanya Dennis
According to a recent Gallup poll, 36% of Americans have”very little” or “no” confidence in U.S. Banks. This is the highest percentage since Gallup started tracking.
Treasury Secretary Timothy Geithner outed the banks for the “huge amount of money (spent by banks) to erode, weaken, and walk back” from financial reform. In the first months of this year, banks have spent 2.7 percent more than last year to fight against higher capital requirements or swipe fees
Jefferson County Alabama is a prime example of why people don’t trust banks.
JP Morgan recently posted its largest quarterly profit ever of $5.6 billion and increased their CEO, Jamie Dimon’s salary from $20.8 million by a staggering 1,541%, according to proxy statements filed with the Securities and Exchange Commission between January 1 and April 30th. In contrast, Jefferson County can no longer afford to dispatch sheriff deputies to traffic accidents.
In 2002, Jefferson County officials took out a sub-prime $250 million loan from JP Morgan Chase to fix their sewage system. Now the project has ballooned to a $ 5 billion unpayable debt!
Ironically in 2008, while JP Morgan Chase was drowning in its own financial sewer of defaulting subprime mortgage holders, the taxpayers threw a $25 Billion bailout life raft, as Jefferson County couldn’t pay their police officers.
Bankers in America have recovered completely since the 2008 meltdown in our economy while citizens in Jefferson County, Oakland, California and other local governments continue to struggle.
President Ronald Reagan’s “trickle down” economic theory was a fairy tale.
While citizens are fighting foreclosures all the way to the auction block, CEO’s are laughing all the way to the bank. The banks are ripping off homeowners, cities, counties, states and entire countries. We have become peons to the banking industry. This is what a Wall Street dominated America looks like.
How do we build a fair economy in Oakland and our nation? How did America get in this position and what are the answers to the big bank monopoly? In the next few weeks the Post series on “The Banksters” will address those questions.