So the other day I was talking to some of the ‘other’ Americans. You know, the ones who put a down payment on their home, didn’t leverage themselves out, who are paying their bills on time every month, even though that is becoming a struggle, and they wonder – Why are we bailing out everyone else? What do I get out of this?
Well, we all know the answer to that….. we get higher taxes once things come back around…. Someone has to pay for all the spending. Even if it isn’t a direct tax, it gets passed through in most cases.
So to offset the amount we have to pay back, why not implement something that recaptures some of this federal ‘bail-out’ money that we will be making payments on for years.
Here is my proposal: If someone has their interest rate or mortgage balance reduced, that amount is reported to the government. If the bank taking the loss received federal bail out funds, then that consumer will not get a tax refund check until the amount the bank lost is recovered.
This will still allow people who need the help to get it, but will prevent those who are simply taking advantage of the situation from doing so without thinking about it….
Just a thought.
