It's important to note that even though the hysterics of Washington bureaucrats indicate otherwise, lending has not stopped. It may cost you a little more, and you might have to actually, well, you know, qualify for the loan, but the banks are still lending money.
I talked to a banker buddy of mine and he confirms that yes, indeed they are loaning money, and by the way, do I need any. Of course, I don't but maybe later.
The Cato Institute has a nice article detailing the fact that money is still being lent.
In August, bank loans to consumers were 9.5% higher than they were a year earlier–the fastest increase since 2004. The year-to-year increase in consumer and industrial loans was 15.5%, down only slightly from a recent record high of 21.6% in March. Real estate loans were up 4.1% for the 12-month period ending this August–flat lately, but not down.
Again, the media is fanning the flames instead of reporting the facts. The government (congress and the executive branch) is only to happy to socialize more of the economy in the name of safety.
Tags Bailout Banking & Money Crises Loans