#906 Citi-bloop

A couple of years ago I wrote an essay about a new bill the bankcard company lobbyists pushed through congress. It limited bankruptcy protection for ordinary Joe-the-borrowers so they couldn’t default on their credit card bills.
It was still okay under the provisions of the bankruptcy bill for big companies to declare bankruptcy and pay their outstanding debts at pennies on the dollar. It was just the little guy who couldn’t enjoy the same loophole.
And loopholes form the afghan on which the map of our country is crocheted.
At the time, I pointed out that it was odd to offer legal protection to the bankcard companies, as they were at least complicit in the problem. By offering to skip payments and also keep the payments on bankcards artificially low, they were making it too easy for people to take on too much debt.
And not a day goes by that we don’t hear of a bankcard being offered and actually issued to dogs, children, and the occasional whacko in a loony bin.
Well old Joe Schmoe, who couldn’t get off the hook because he couldn’t declare bankruptcy on his credit card debt, he’s about to have another hook set in his pocketbook. Because Citigroup, one of the largest bankcard issuing companies in the world, just got bailed out by the federal government. Their bad debt is going to be guaranteed by none other than you and me, whether we have good credit or not. Our taxes, and more importantly, our children’s taxes are going to hedge Citigroup’s losses and their bad management.
Because you know, big companies can’t be allowed to fail. It’s not like they’re the only mom and pop store in a small town who got in over their head extending credit to the out of work neighbors that shopped there. And they had to over-borrow on their bankcard to pay their bills.
These people don’t deserve to declare bankruptcy, and they sure shouldn’t stand in line waiting for a federal bailout.
But little guys like them and us that Citigroup wasn’t afraid to cornhole 2 years ago? We’re going to bail out Citigroup today.
At least they could have kissed us first.
America, ya gotta love it.