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Consumer Credit Decelerates Most Since Feb 2011
With expectations of a $12.0bn rise in Consumer Credit, yet another market 'economic' indicator flashes orange as the Seasonally Adjusted number comes in at $8.735bn - the largest miss from expectations in 6 months. Furthermore, using the Non-Seasonally Adjusted data, this is the largest sequential drop in 12 months (since the Feb 2011 plunge). While non-revolving debt managed to increase (though at a considerably lower pace) for the second month in a row the deleveraging that ended in Q4 has resumed following the end of the retail shopping season (as revolving credit contracted). Perhaps the same 'glitch' that destroyed Groupon, namely accounting for product returns, is about to sweep the entire retail industry?
The largest sequential drop in Consumer credit NSA since Feb 11...
And revolving credit has now contracted for 2 months in a row - as the consumer deleveraging ramps up again following the holiday shopping season...
with this deceleration the largest miss in 6 months...
Source: Federal Reserve
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I can return the can opener I got for christmas and we can eat 6 more meals. Yep thats the plan.
A plan to starve our population into submission. These bankers are criminals. They have been working for 99 years to destroy our economy. They are both patient and persistant. A dime a day will end the charade. This is our chance to stand up and fight. We have spent too long not staning up for ourselves.
They have been working for 99 years to destroy our economy.
Dear Sir,
You're a paranoid idiot.
Max Fischer, Civis Mundi
Being bad with math doesn't make someone an idiot.
especially in metaphysical outer prism issues and the living road blocks they bring.
How they took away people's good imagination,
and replaced it with debt for credit for debt for time,
it's quite the tttrick
you gotta give the demons some credit,
they've had this bloodlust for generations.
At the end of the day, never under estimate the amount of people,
who understand the difference from good and bad, right and wrong when the house catches on fire.
There is a chance 'The People' will respond far greater than
most have imagined.
Sun Tzu says the Greatest Warrior of ALL TIME
conquers
without bloodshed.
These Bankbots before us.
They are all so short and tiny
when u look behind the curtain.
Vaya con Dios.
What a moon tonight!
Stop upvoting yourself.
No one here upvotes sneaky spammers and competing bloggers.
This deleveraging is actually good news. People need to save but in the right form of money. The Fed though is going again to punish savers.
Print Ben, you motherless FUCK, print....the ship is going down.
Send lawyers guns and money the shit has hit the fan!
http://www.youtube.com/watch?v=tXN4zAKRvVo&feature=related
Tyler: Where is the +5 button?
I need it...
BTW: Better version... Zevon...
Print Ben, you motherless FUCK, print....the ship is going down.
He knows it, its their Master Plan, for those of you in Rio Linda.Why all the Tyrannical EO's, and DHS BS of late?(and both the GOP & DEMS voting FOR them?.
Think its for Terrorism from foreigners?.What a crock of FECES,haven't seen a one, or heard a peep from any REAL threat since 9-11.
NO, they are coming for our asses.Be ready,or be dead, or life in a semi gulag.
You paranoid,Bible hugging,gun loving, Constitutionalists!!!!!!!!!!!!!,
Not to mention that more and more small businesses are no longer accepting that plastic shit and related fees.
Correct. I have noticed in the last few months, my clients (mostly small bizzes), are not accepting plastic anymore. They are also starting to pay me in cash more (I have never accepted plastic-check, cash, barter only). The reason? "We are tired of all the bank fees." Even if they are using checking accounts. They are tired of the gotcha mentality of banks and the way they assess fees. They are tired of the bullshit and figure it is just easier to pay cash and be done with a transaction and not have to worry that a "glitch" will show up later.
Cash, the next barbarous relic......
Pfeister Barter Inc
8335 139th Street Apartment 1l
Jamaica, NY 11435
Consumer credit contracted???!!!
But,... but,... that's Unpossible!!!
Even with freakishly-low artificial interest rates???!!!
It didnt contract, the rate of increase slowed... Big difference.
AND the 'freakishly low interest rates' do not extend to plastic - the carry trade on that one seems to favor the bankers.
http://www.youtube.com/watch?v=J6_1Pw1xm9U
Revolving credit (credit cards, i.e.) contracted, nonrevolving consumer credit (college loans, etc.) expanded at a slower rate. See the second graph above.
IOW, consumers aren't reaching for the plastic as much as they used to around the holidays and are paying down CC debt again.
Last time the "they are paying down debt" circulated in the news we had to wait almost 6 weeks for the " the pay down is actually write off" to scare the bajebus out of us. Are we ina repeat or is it"this time it's different?"
I expected this...... but the first thing I said when I saw these charts was....."Holy shit!"
bout to get real now
What kind of consumer debt is beeing held by "Federal Government". Is this mainly the FED's MBS portfolio?
Good question, not least because
the disappearance of said credit explains the whole drop
"Consumer loans held by the federal government include loans originated by the Department of Education under the Federal Direct Loan Program, as well as Federal Family Education Loan Program loans that the government purchased from depository institutions and finance companies."
per the federal reserve
can it be that students are suddenly deciding not to take on student loan debt?
or did they just buy fewer bad student loans from the banks this period?
Assets are great. Credit is amazing. But at the end of the day, cash flow is required to keep the lights on.
Its about to head back up, people can now pay off their student loans by using their debit cards. Recovery on its way...
http://blogs.smartmoney.com/advice/2012/04/04/pay-down-student-loans-by-shopping/?link=SM_hp_ls4e
Forget rewards. I would use credit cards for all of my needs and use the Money I would pay to the Credit Card Companies and for my expenses to pay down my Student loans. Then I would declare Bankruptcy and wipe out the Credit Cards.
If you get on food stamps or other state aid, you can defer student loan payments. Its the latest "trick" all students are being taught to avoid paying back loans.
And this method the banks love, because they get transaction fees from the loans, then from the food stamp system.
Exactly! That seems to be the best strategy for post-grad unemployed or (more usually, I think from ancedotal evidence of my daughter's friends) under-employed, to deal with the ''bankruptcy not allowed to erase student loan debt" deal our corrupt Congress made with our corrupt banksters.
Get some shitty job, any job, apply for credit cards at max allowed, make small payments and pay up each month to increase the limit, then max those fuckers out, pay off all or most of student loan, bankrupt on the rest.
It's a plan...
WS,
Ingenious plan, but you might find a creditor or trustee citing "bad faith" in your filing.
"Bad faith"?
I thought we threw all moral obligation to pay in good faith out the window already.....
Moral hazard -- the "its ok to walk away" mantra is now taught in the very schools they took out those loans to pay.
Gas prices, bitchez!
In a nut shell, yes. Cant spend money on Margarita machines and iPads when the price of just going to work went up 20%
Obi-Ben Bernaki: I felt a great disturbance in the Fed ... as if millions of wallets suddenly cried out in terror and were suddenly closed. I fear something terrible has happened.
You must have missed the news item about Google having a virtual tour of the White House. Who needs a car when you can travel and tour the world on your iPad? Add in the fact that Americans are rapidly becoming to obese to move and there is only one conclusion to make, Bullish for AAPL!
Obesity: when an apple a day become AAPL all day.
"Move along. These are not the interest rates you are looking for"
"Reckless is he: now matters are worse.”
But, but the TV said it was all getting better....I don't get it. Is my TV lying?
I find I am getting much better info on my TV now that my rabbit ears won't decode HD. I can sometimes see a fuzzy Mexican channel and I am off my meds.
Don't worry, television always tells the truth, nothing but the truth.
Consumer deleveraging, ultimately, is good. Short-term pain, yes. But this is the only way to recover. Debt-based funding of homes and schooling must end. If you can't pay cash, you can't pay, period.
That's one part of the problem, but debt-based government spending needs to stop, too. I don't see why taking out a mortgage for a home is necessarily that bad of a thing to do. I also don't think needing to borrow some money to pay tuition is unreasonable either--I took some loans in order to fund my education. Was I stupid? I was able to pay back everything I owed within five years of finishing my final degree, and I could have paid it off sooner had I wanted to. Credit isn't the problem, it's the misuse and abuse of credit that is the issue, the same as alcohol, or any other substance a person can "enjoy too much of." People binged on it, institutions got hooked on those who got hooked. Vicious cylces formed.
But, but, I was told that debt was money. Now I'm confused.
Dept is money, but "only" to the banker. You sign on the dotted line, and the banker adds numbers to your account (so you can write a check against those numbers). The banker just makes money out of thin air. It's you who repay the banker with real money. YES; I know it's just that simple! The banker never has the money to start with! This is why a run on the bank will kill the bank. So your dept, is money to the banker. Banks can "not" make money under a GOLD backed currency (the banks would have to have the gold first, before lending it to you).
If debt-based funding ends, capitalism will end. When all debt is paid back, there is no money anymore. Can never work. Someone has to play the debtor, otherwise the money chain mail game collapses.
You speak as if that's a bad thing.
Perhaps some clarification is needed.
In a debt-based economy such as ours, even any slowing in the rate of growth is problematic. Declining levels are disastrous.
Here lies the fundamental impotence of monetary policy. BB can print to his heart's content, but he cannot compel people to spend, nor can he compel them to go into debt. Push that string, Benny...push it real good.
Gee, maybe people are starting to figure out that you can have growth, or you can have "prosperity," but you can't have both.
Although in this system, there will be neither until it implodes.
You mean that the broke deadbeats are taking out fewer new loans?
I thought that the "New and Improved!" student loan Ponzi was supposed to take care of that and ensure that the broke deadbeats had access to even more credit.
Wasnt there something back in March about that first chart...something about consumers starting to leverage again...
Guess not.
Should we dare to short retail?
I havent been long in 3 years.
Never fear! All *bad* news has been released, and on this, the holiest Friday of the yearly calendar, on which - for some Opus Dei reason - the Amerikkkan equity indexes are closed.
Next week, there is no major economic news until the Treasury budget is released on Wednesday afternoon.
Therefore, I offer you my short-term equity outlook:
BULLISH.
Yep, here comes the old Sunday evening gap down, then "magically delicious" 2-6 am PPT ramp job, then the algos kick in around 10 am taking us green by around 11:30... the only question is how many handles green at the close.
Yea then what? These clowns had 3+ years, and are out of room to coast as the path turns sharply upwards. I think those expecting 'more of the same just muddle thru from here on out for years' will be very rudely awakened shortly.
Years? No. Months? Sure.
Then again, I didn't expect "years" to be the answer back in 2009.
So on Monday the markets get crushed? Do we start a major leg down untill June/July when only then Ben injects trillions more into the economy? Do the miners continue to get crushed and how much lower do PM's go? With an election a few months away how does team Obama keep gas prices down, unemployment down, and stocks up? Time for me to get the magic 8 ball out and call Miss Cleo for answers.
Theyre out of time. People will realize that shortly. They had almost 4 years to fuck around and print and paper over reality and all this nonsense, with disastrous results world-wide I might add, and now theyre out of room. People may not believe that, but theyll soon see for themselves.
BTW 'Team Obama' is not sitting so pretty, hes got 40% approval which anyone will admit is a disaster heading into last election months, he's out there acting like a total tyrant proclaiming the congress and USSC 'irrelevant'....lets face it hes not a real popular guy! And the thing theyre not going to do is print and pump trillions in, not this year theyre not, people HATE 'QE' they know its gifting the ultra rich and nothing else.
No one cares about the stock markets, and what fake numbers are saying because the american people are broke and suffering, none of it is doing THEM any good. Cant BS their way around that.
this is bullish
The central planners will fill up any net drop in total credit (over the change in savings rate) with another bomb, federal building, health care mandate or TSA expansion... until these involuntary transactions can no longer be financed.
Market Pulse Archives
April 6, 2012, 3:00 p.m. EDT
Consumer credit at highest in nearly three yearsTry to print and paper over THAT, Bernank you muppet!
Collapse the CORRUPT system! Run up your unsecured debt and don't pay! MAX OUT! DON'T PAY! When the denning letter comes, have them prove a debt was incurred. THEY CAN'T! You, as the authorized representative of your strawman(fictional all CAPITAL LETTERS corporate entity),created the money at your signing. The banks then monetize it 9 TIMES through fractional reserve banking. THE BANKS NEVER LOST ANYTHING! FUCK THE BANKS! FUCK YOU BEN BERNANKE! AND FUCK YOU JON CORZINE!
Grasshopper....hit 'save' 1 time!
He is a good start if you want to pay. The info is out there on the still free internet. I was awakened several years ago. The EVIL bankers created a great slave system in 1913. WAKE UP AMERICA! YOU ARE ALL DEBT SLAVES! The CORPORATE UNITED STATES IS(and always has been)BANKRUPT! The defacto government is UNCONSTITUTIONAL!
1913? Hell it goes back way further than that just in this country. In 1788 the US was declared bankrupt and a corporation due to inability to repay 21 loans taken by the 'UNITED STATES OF AMERICA' from King George. Anyone ever hear THAT story? Oh no, we supposedly fought and defeated king George....yea sure we did. A few years later the United States Bank was founded, owned by England, 18,000 of the 22,000 original shares owned by England. Further back than that, the Vatican established their trusts and Papal Bulls starting in the 1,300's, ownership of land, titales, and all souls of the world. Its only gotten worse since then, but no way did this START in 1913.
Okay. You want to go back to the beginning. In 1455 The 1st Crown of the Land-Romanus Pontifex. This is for "Perpetual Remembrance". This Bull(written on sacrificed childrens skin) had the effect of conveyingnthe right of use of the land as Real Property from the expess trust Unam Sanctum, to the control of the Pontiff and his successor in perputuity. Hence all land is "crown land". The first Crown is represented by the 1st Cestui Que Vie Trust, created when a child is born, depriving them of all their beneficial entitlements and rights of the land at birth. I will give the second papal bull after the childrens bathtime if anybody on this thread wants to know after the children are in bed. Notice I don't call my children "kids" since the "parchment" was made by the slain "kids" to write the Papal Bulls on!
The Second Crown of the Commonwealth was created in 1481 with the papal bull Aeterni Regis meaning "Eternal Crown". The second crown is represented by the cestui que vie Trust created when a chid is born, being the sale of the birth certificate, as a Bond to the private Central Bank of the Nation, depriving them of ownership of their flesh, and condemning them to perpetual servitude. I know. Run on sentence.
The Third Crown of the Ecclesiastical Sea was created in 1537 through the Papal Bull Convocation also meant to open the council of Trent. Being the Final and third testamentary trust, being the trust set up for the claiming of all "lost souls", lost to sea. This crown was secretly granted to England in the collection and "reaping" of all "lost souls". This crown represents the Third cestui que vie Trust created when a child is baptized, being the grant of the Baptismal Certificate, by the Church of the Registrar, being the gift of Title of the Soul. Thus, without legal title over one's soul, a man or woman may be "legally" denied right to stand as a person, but may be treated as a creature and thing without legally possesing a soul. Hence, why the BAR Association is able to legally enforce Maritime Law against Men and Women. That is because all can be treated as things, cargo, that does not possess a soul. Hence, the thing can be put in a box. JAIL!
ALL PAPAL BULLS ARE EVIL!
Therefore. You are a SLAVE. You have NO SOUL! You Are a BOND for the Federal Reserve! You pay them TRIBUTE through Sweat Equity! You PAY property TAX because you can NEVER own the LAND! If you don't PAY, you can be put in JAIL! YOU ARE ALL THINGS to TPTB!
I pay off any consumer debt every month. I keep it very manageable.
sheeple you are! baaaahh.
Thats right! The bankers never lost SHIT this is ALL just about screwing over the people, or the country as a whole they want it 3rd WORLDED thats what this is all about! If people knew how the banks ACTUALLY work, their heads would explode, they couldnt take seeing how corrupt it all REALLY is from the time of your birth youre considered a strawman account and they trade YOU on the world markets as a slave, a commodity! YOU can backtrack your slave account at the Treasury, its worth millions! Get with it people, the ONLY way out is to know exactly how it all works....stopthepirates.org.
Death to Pharaoh
Much of the growth in credit is in student loans -- have to pay for the Iphone and those North Face coats and the bar tabs somehow after tuition
Much of the growth in credit is in student loans -- have to pay for the Iphone and those North Face coats and the bar tabs somehow after tuition
Lol you dont hang around much with college students do you?
Let me tell you how we survive.
Scratch offs.
Gambling / underground Poker Games, and selling drugs.
No one pays their student loans.... and most of them dont even have credit cards.... hell half of us are driving with suspended licenses because we dont want to pay the renewal fee/parking tickets, I drive around with a grinder and a converter in my trunk to remove boots, which we then turn around and sell @ the scrap yard.
I exagerate, ( alittle).
Lol not really.
If you are older than 40, we dont like your generation, you can take the laws and garbage that your generation created and shove it, no living creature should have to be subjected this kind of buerocratic BS let alone be born into it.
http://www.youtube.com/watch?feature=player_embedded&v=BqV5vJdH-TA
I don't believe that.. Most college kids seem to have a very cavalier attitude about money & credit (not that the parents are any much better) and think of student loan funds like many homeowners thought of HELOC's & Home Equity Lines of credit 'Free Money' to feed your 'inner shopper' and to use for vacations to Vegas or South Beach as well as those $30 Cases of beer every night.
Don't worry, the people who are over 40 (I am 34 for your info) will be bailing out student loan delinquents when the Bankruptcy laws get 'tweaked' in 2013 or 2014.
{{{No one pays their student loans}} Of course not, you don't have to make a single payment while in college or even six months after graduation. I had about $30,000 in loans graduating 12 years ago, somehow I managed to pay them back after three years. I also managed to pay off a s**tload of credit card debt without having to suckle on the teat of mummy & daddy or the gov't at 25.
{{{ and most of them dont even have credit cards.}}} So exactly how do you afford the $500 Iphone (which is the out the door cost after sales tax & a $49 case and activation fees and the BS "Apple Care")? with the $100 a month payment plan for the next 24 months???
Good luck if you ever get pulled over for driving on a suspended license in NY State or in Massachusetts. At a minimum you will face a huge surcharge in your insurance rates as well as all the other fines for taking that risk
I don't believe that.. Most college kids seem to have a very cavalier attitude about money & credit (not that the parents are any much better) and think of student loan funds like many homeowners thought of HELOC's & Home Equity Lines of credit 'Free Money' to feed your 'inner shopper' and to use for vacations to Vegas or South Beach as well as those $30 Cases of beer every night.
Don't worry, the people who are over 40 (I am 34 for your info) will be bailing out student loan delinquents when the Bankruptcy laws get 'tweaked' in 2013 or 2014.
{{{No one pays their student loans}} Of course not, you don't have to make a single payment while in college or even six months after graduation. I had about $30,000 in loans graduating 12 years ago, somehow I managed to pay them back after three years. I also managed to pay off a s**tload of credit card debt without having to suckle on the teat of mummy & daddy or the gov't at 25.
{{{ and most of them dont even have credit cards.}}} So exactly how do you afford the $500 Iphone (which is the out the door cost after sales tax & a $49 case and activation fees and the BS "Apple Care")? with the $100 a month payment plan for the next 24 months???
Good luck if you ever get pulled over for driving on a suspended license in NY State or in Massachusetts. At a minimum you will face a huge surcharge in your insurance rates as well as all the other fines for taking that risk
I don't believe that.. Most college kids seem to have a very cavalier attitude about money & credit (not that the parents are any much better) and think of student loan funds like many homeowners thought of HELOC's & Home Equity Lines of credit 'Free Money' to feed your 'inner shopper' and to use for vacations to Vegas or South Beach as well as those $30 Cases of beer every night.
Don't worry, the people who are over 40 (I am 34 for your info) will be bailing out student loan delinquents when the Bankruptcy laws get 'tweaked' in 2013 or 2014.
{{{No one pays their student loans}} Of course not, you don't have to make a single payment while in college or even six months after graduation. I had about $30,000 in loans graduating 12 years ago, somehow I managed to pay them back after three years. I also managed to pay off a s**tload of credit card debt without having to suckle on the teat of mummy & daddy or the gov't at 25.
{{{ and most of them dont even have credit cards.}}} So exactly how do you afford the $500 Iphone (which is the out the door cost after sales tax & a $49 case and activation fees and the BS "Apple Care")? with the $100 a month payment plan for the next 24 months???
Good luck if you ever get pulled over for driving on a suspended license in NY State or in Massachusetts. At a minimum you will face a huge surcharge in your insurance rates as well as all the other fines for taking that risk
I contributed to the numbers above! We just paid off the last rental's mortgage and are now 100% out of debt (excluding taxes, insurance, and the other scams forced on us by law). There is NO WAY we are jumping back into the debt pool!
Now I'm going to start working on those allodial titles...