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Here Is The Credit Bubble
When in several years, experts will clamor that "nobody could have possibly seen it coming", we want to make sure that at least our readers "saw it coming" wide and clear from a mile away.
The chart below shows very clearly what is the next bubble, one which has nothing to do with such philosophical concepts as "what is money", or "net is not gross", and everything to do with a clear injection of debt with the sole intention of shifting consumer preferences and (mis)allocating capital.
Presenting the total loans owned by the Federal government as disclosed in the Fed's monthly G.19 statement on consumer credit - from $100 billion in 2008 this number is now almost $1 trillion.
Actually, one explanation: since credit is just a source of funds, there has to be a matched use of funds.
There is.
First, the bulk of US "government-held" has gone into auto loans, which as shown in the chart below, not only have surpassed total credit card (revolving) debt, but as of Sept. 30 just topped the credit card debt held by US consumer at the peak of the last bubble when housing was at all time highs, and consumers "charged it" like there was no tomorrow.
And then, of course, there is the student loan bubble.
And now you've "seen it coming."
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Will Fannie back me on a Tesla loan...I don't plan on paying anything back...I just want the tax credit upfront
The pool of wealth accumulated during the past 500 years of exterminating two-three hundred million goyim and robbing colonies is exhausted.
This is the end, my only friend.
Sallie Mae will ride you hard.
Top 1,257 Complaints and Reviews about Sallie Mae
Our economy is as flexible as a palm tree in a storm. Those palm trees bend and bend and never break. They always come back.
https://youtu.be/siHQgN6iFRk?t=2m29s start at 2:29
Edit: I thought the link negated the need for the /s tag.
The student loan thing is going to eventually come to light. The actual percentage being used for school versus just avoiding the lights from being turned off (plus cigs and booze) is worse than anyone likely imagines.
I've always assumed a lot of this money is finding its way into etrader BTFD accounts. How else are so many people not showing up on government work participation statistics? There's truly much at stake in this Bull to continue to run ....
There is no problem... you can trust the American consumer... they will pay back everything they owe... and now you know the rest of the story...
Bla bla bla let them have thier wine and cheese
It's moar then a credit bubble. Housing, stocks you name it, everything is inflated to the max, all over the world, and it's just a matter of time before it bursts with a Bang, a Big Bang !!
Since student loans cannot be written off in bankruptcy, that makes recipients true debt slaves. There is no way out; your government OWNS you.
I have a feeling we will be seeing a lot more of that in other areas as well. Beware psychopaths bearing gifts that were stolen from others... you may end up owing them something.
With talk of preventing exit for Americans who allegedly owe taxes and veterans on disability looking to be among the first to be targeted for their 2A rights, there seems to be a pattern developing.
To put it in contrast, for 100k, a life is ruined and a job is lost in favor of the debitor.<5/p>
And 1 million is about the sum the average worker makes in his or her lifetime.
Total debt of 20 trillion soon? That's about 55k per person, babies and old people included so do the math for your family.
A studentloand ruins 20 years of your life?
Well, your part of the national debt is worse.
off the rails. there are no rails
and there is no spoon, that is the meme.
all double-think all day long.
yet, a threat has been detected.
the machine has many languages. man
has had his tongue ripped from his head,
stuffed there is a gobbledygook generator.
.
leadership and language are dead,
long live leadership and language.
money is dead, long live money.
the clowns will hang around long enough
to assure no sanity prevails, then jump
into the abyss leaving only the chosen
one, the insider's puppet for
election, 2016.
.
the environment has become hostile.
hostile to reality and humanity as it
knows, needs and craves reality. the truf is a four letter word.
sane and coherent constructions are over run
by "power", ( tangential and derivative speculative
illusions feeding in the dark shadows ); construct
linguistic, and otherwise, arrows to pierce them.
.
bare witness to what you see and let, as one
zehlot quoted, "the lion of truth fend for itself".
or something like that.
some help here? it was like
"the truth is like a lion. you don't have to protect it,
let it go and let it defend itself." ?
anyway....
off the rails, man.
credit is somehow related to credibility and
that is the first thing the speculative, tyrannical
god replacing, banksters replace-destroy.(mock mimic mooch).
then they fund weapons production to destroy and kill everything
and anything that challenges their "superiority".
can you bare witness to it or have you not seen?
it is the "money" system, man.
I'm just buying a bunch of games of Monopoly and using their funny money when the world falls apart.
Neither a borrower nor a lender be,
For loan oft loses both itself and friend,
And borrowing dulls the edge of husbandry.
Don't forget the Billions of $ cans in road coming up in Febuary too.
http://www.newyorkfed.org/markets/soma/sysopen_accholdings.html
The banks and the higher educational institutions are in love with each other: The higher the tuitions the bigger the loans. How sweet it is.
Several years? That's being generous, don't you think?
there will be .....
If you have migraines and student debt you .at get ssi and then you can discharge the student debt. There are offices advertising this service in the ghetto.
Broke out-of-work students living in their cars ... at trailer parks.
A major theme park...it will be recalled in a thousand years.
Weird, right about the time things started taking off, I completely deleveraged.
FUCK.THE.FED!
Remember, the world has learned and will not fall for buying repackaged toxic car and student loans.
Anyway, the credit situation the reason for this ZH article? http://www.zerohedge.com/news/2015-11-06/washington-preparing-world-war-...
Bankers only have one real product, debt.
Bankers have achieved excellent market penetration with their product.
Unfortunately, they have been so successful that the market is now saturated.
Once the money lenders have taken over there's no way out because every sign of economic life gets snuffed out by moar debt.
Their housing bubble isn't fixed, their stock market bubble created as a side effect of trying to fix their housing bubble isn't fixed and yet they are creating new bubbles to soak up every last dollar of discretionary spending.
And when every last dollar of discretionary spending is paying back debt what don't you have?
A functioning economy.
There is an outside chance that we might not experience a collapse as we expect it.
Instead, we might morph into some kind of nightmare system in which there is no collapse and no excape. Just a nightmare that plays out each day in much the same way as the one before..... provided you don't die.
The only proviso to all this is an accidental push of the DELETE button by either the US or Russia.
When looking back over history it is hard to argue with the fact that trends can simply run out of steam, lost momentum is not always sudden. Economic policies function under the same laws and because something appears to be working for a while does not guarantee its future success.
Currently the economy is slowing, not only in America, but across the world, but what many people see as a lack of momentum could be something far more disruptive and disturbing, it could be we are beginning to see attrition starting to take its toll. The article below looks at how systems can be slowly worn-down and the damage may surface only after time.
http://brucewilds.blogspot.com/2015/11/lack-of-momentum-and-lag-time-of.html