What The Banks Don't Want You to Do!

American consumers are in debt to the tune of $2.5Trillion dollars. This is part of what makes the Fed & Friends continue to find new ways to entice you to buy even more of what you can not truly afford. It is why they lower interest rates. It is why they shower you with credit card offers with perks for using them. But what the banks don't want you to do is to save your money and liberate yourself from your credit cards.

What is the fastest way to save money? Stop using credit and pay off your cards. Those little devils in your purse or wallet are constant temptations to buy something today and pay for it tomorrow. Problem is...you pay, and pay, and pay some more for the privilege of a little piece of plastic. Is it really worth it? Since the start of the recession, banks have been raising interest rates on the average consumer. They know that many are in trouble (reduced wages, hours, or both) they know that you will rely on the card for quick cash or that special present to yourself, even groceries this week and next. So they're jacking up the privilege as much as 29.9% for many. Banks aren't your friend, they only pretend to be.

They fill your statement envelopes with more offers and ways to get the most out of that card and to get the most out of you! They'll even offer to have you skip a payment or two...isn't that nice of them? What they will ever rarely do is suggest that you stop using the card and save hundreds to thousands of dollars a year in interest payments. Even carrying a fairly low balance can eat up valuable buying power if your interest rate is in the double digits.

The banks won't tell you to follow their lead. Banks got overly greedy again and continued with criminal-like zest despite the risks. They got themselves in trouble. What to do? Walk away from the problem/or shove it to the consumer, the tax-payer, the hand that feeds them. The very financials that walked off with big bonuses did so at your expense while your buying power diminished further and your investments shriveled under the heat. You could follow one from their own play-book and walk away from this wholly lopsided obligation. Why should you pay when they addicted you to easy credit? These dealers are the bad guys here, not you. You are just weak minded and they like that an awful lot don't you know? So stop paying more interest on owed interest and fee upon fee. Or what about this: How much are all the bailouts worth on a per tax-payer level? Thats your leverage, your credit, your payment towards the account!

War...Its All About Money, Even At The Cost of Lives!

Think of what you could do with all the money you will save by not using credit. My Father never borrowed money. He wasn't interested in credit. He saved for his homes, cars, and vacations. The savings he amassed by not paying for what he could not afford, allowed him to invest and have a decent retirement account for himself and his wife. While he enjoyed working, he did not have to ask his wife to work because of necessity, except in the very beginning, nor did he need to seek part time work to make ends meet. Not borrowing from the banks or living with credit was a financial boon for he and his spouse. Sure they worked

hard and pinched pennies when needed. But in the end, they didn't need to worry about not having enough to take care of themselves.

WAKE UP AMERICA!

Smart or Irresponsible?

"Mr. Geithner, in a letter to U.S. lawmakers, said that the Treasury projects that the current debt limit could be reached as early mid-October. Increasing the limit is important to instilling confidence in global investors, Mr. Geithner said. The Treasury didn't request a specific increase in the letter."

Do you think this is a wise move? Our debt with respect to GDP is currently reaching into the 90% range with the U.S. expected to be fully extended by some time in 2010.

It seems that this is a blatantly irresponsible move from a fiduciary standpoint. So I guess the question is: Does Mr. Geithner have an ethical duty to act in the best interests of the people of the United States?

Obviously the Federal Reserve wins by the debt limit being raised again but do the people? What happens when debt to GDP reaches 100% or more?? This means even more than saying that your personal credit is maxed out!

Since the Federal Reserve makes money from absolutely nothing, (we are not on the gold standard anymore) it would be a huge deal to forgive all debt to-date owed to the Fed. It would do an awful lot it seems to help this country out. After all, its not like the Fed is in any kind of financial trouble. After all, they got us in this mess with their money-making schemes. It seems only fair!

Now on the other hand we've been hearing from the media in an almost droning-like way, that the recession is near its end. Even Bernanke says that the recession has ended. They say that all reports indicate this...well, those reports as we all know have had their data skewed and manipulated in order to make things look rosier than they really are. AND...when the new report is dramatically different than the previous report, they have to re-manipulate all the past data to come into line with the current report. See what I mean?

As recently in 2005-2006 Bernanke said that the U.S. Housing Market is fine and is properly valued. He said that the U.S. is on the path to full employment. Bernanke said that we have a strong future economic growth and boom in exports. To that we simply say: HUH??? Whats you talkin about Bennigins? He obviously doesn't have a serious clue in his body about whats going on unless he's told by those who are really running the show. He's just the puppet on the marionette stage.

Then they point to a lower unemployment claims number and say that this is the biggest proof. Well it seems to us that all that means is that the big wave of layoffs deemed necessary by companies as a cost-cutting device is slowing. It does not mean that near 15 Million people are not still out of work, it does not mean their lowered hours, trimmed wages, or reduced benefits have returned. It does not mean that consumer spending in the retail sector has returned either, nor has discretionary spending. How do we know this? Because brand new manufacturing cities in China had their gates closed to workers returning from Holiday.

This means that the west is not buying. Furthermore, sea ports in China have containers stacked as high as they can possible go and they're filled with product for the west. But it isn't being shipped because there are no buyers. Many real estate markets in the U.S. are still seeing record foreclosure rates. Global shipping companies are bobbing in the ocean rather than going full steam ahead because there is little to ship now a days. Banks still are not lending and this is the biggest indicator! Sadly even banks and mortgage companies are being caught trying to lend to people who shouldn't be borrowing. Those financials should be closed and taken over immediately by responsible institutions. When all this reverses, perhaps then we can say that the recession is ended. Why must they put the proverbial cart before the horse?

Others are pointing to the recent stock market rally saying that the per- severance of the bulls is proof that the recession has ended. Seems to me that maybe this is just another but rather longer bear rally. Even though economists are all calling for the end by the fourth quarter of 2009, these folks almost always lag the market with their opinions. Wasn't the economists that were partying over the economy in 2007 when the market was at all time highs? This was also the point where it all started unraveling.

During the Great Depression, there were eight distinct stock market rallies. The rallies lasted an average of 11.3 weeks during which time the average increase was 52.6%.

The rally that began in March of 2009 is now 29 weeks long and has seen the S&P 500 rise 58. percent. Which is to say, it is now double the average duration of the average bear market rally during the Great Depression.

More interesting is that the current rally is eerily parallel to that of the longest bear market rally of that era – a 52% rally that came at the very beginning of the depression and lasted 22 weeks.

Since history has a way of repeating itself as it has time and time again...the folks here at Future1investors group will wait for something much more indisputable before we start saying and writing that the recession has indeed ended. Until then, we are preparing for a longer road back to recovery. A road we feel must include one well traveled by new innovations and technologies that have mass benefits as in things like alternative energy. We are quick to blame the Saudi's for the price of oil, yet our very own American Oil Companies just saw the most profitable year in the entire history of the black gold!

Seems more responsible to work this way rather than throw caution to the wind, only to be let down yet again. Aren't you tired of it?

WAKE UP AMERICA!