big 3 and the news

[Jim Nilsen]

Originally Posted by rwhite692

Regardless of how we feel emotionally about the merits of any particular industry, the fact is that ANY company, in ANY industry that does not have cash reserves, and diminished access to credit, when faced with a huge decline in sales, is going to have major problems surviving.

The US automakers have been vulnerable to this scenario playing out for a long time. They used to have a war chest to fall back on, but have been "swimming naked" for years now. And the tide has gone out.

I really hope they do continue to get help from the government and investors, as the reformation is going to take years, not months. They will have to become smaller companies and will also need legislative help from the government in order to prevent the foreign transplants from continuing to have unfair tax advantages from the individual states.

Exactly

[Jim Nilsen]

Originally Posted by radrambler

anybody else yelling at the t.v ?
im watching fox news. i cant watch the Clinton New Network.
nobody says hey the big 3 cant make **** if credit to everyday people isnt available......its how the business works.doesnt matter what anybody agrees to in changes of business model or u.a.w. gives in and drops some $
alot of good points are made by the comments on the news but they miss the point.
the true volume of people can no longer buy new cars because the auto industry and BANKS have to have credit to lend to make the industry work.WHICH ISNT GOING TO CHANGE FOR A WHILE.I SAY YEARS.
without credit moving they are going to spend our billions to survive for a little while and go under anyway and the saving of jobs and failure of companies doing business with the automakers will be another news story.
SAD ...SAD ..SAD....
i just wonder if you guys think the same about whats happening with the U.S. AUTOMAKERS ...

tom

I agree and the money was given to lend and now they are holding on to it. It's a scam and we are being taken to the cleaners by fear ,lies and stupidity by the media,bankers and politicians

[3SuperSports]

Sorry. I was actually thinking about the prime rate. Go try to buy a CD for more than 3%. It aint easy.
You're right, the ARM's are rediculous and it's a scam to get people into something they can't afford. Too bad there aren't laws against such things.
I'm not too worried about the rates charged to me. I went with a fixed rate mortgage, I pay off my one credit card every month and we live below our means. Because a company I worked for went bankrupt a few years ago, I lost a large retirement fund. I still hope I can retire, but with the healthcare the way it is and where our social security system is going......maybe not.
What the banks charge customers and credit card company's can charge is a different story. I know.

I don't think our public education system is doing a good job of teaching kids what it really takes to make it in life. You have to spot scams for yourself and take responsibility for your actions. The government can't protect everybody from themselves.

[Jim Nilsen]

Originally Posted by 3SuperSports

Sorry. I was actually thinking about the prime rate. Go try to buy a CD for more than 3%. It aint easy.
You're right, the ARM's are rediculous and it's a scam to get people into something they can't afford. Too bad there aren't laws against such things.
I'm not too worried about the rates charged to me. I went with a fixed rate mortgage, I pay off my one credit card every month and we live below our means. Because a company I worked for went bankrupt a few years ago, I lost a large retirement fund. I still hope I can retire, but with the healthcare the way it is and where our social security system is going......maybe not.
What the banks charge customers and credit card company's can charge is a different story. I know.

I don't think our public education system is doing a good job of teaching kids what it really takes to make it in life. You have to spot scams for yourself and take responsibility for your actions. The government can't protect everybody from themselves.

Ahhh yes the other interest rates. You are right about raising the investment rates for cd's and checking and any other interest rate that the banks use your money for investment. I was offered a new checking account from Citibank that would have given me 4.99% on my money and I couldn't believe it was true. Then I looked at the stipulations and found the negative side of it and it ruined the temptation for me. I would have been making more in interest than they charge me for my car payment from them, it is crazy to think of it. It also would have been crazy for me to do it after ereading the fine print. The charges for certain things in the account would have eaten up any money that was made over 1.9%. It was another scam that the underwriters should be put in jail for and the language made illegal.

We have all been hit at so many different angles that it is inconceivable to know them all and spot them.

You seem to have a good understanding of this and I hope that others get grip on it all before too long.

People need to have credit to buy new cars and if they don't get it the whole thing is a setup to print more debt and leave it in the hands of those who have been setting us up for a long time. the cars are collateral and if the cars are supposed to be saving us money in the long run from higher gas prices the ability to pay is there in the cost per mile which leaves the high mile cars as saving the most already for that owner so they can take less and the low mile cars more desireable if the people can't make the payments and they have to sell them. If they build the right cars and people buy the right cars with this money it could work. If the wrong cars are bought with the money it will also fail.

I wish them luck cause they really need it.

[Jim Nilsen]

I was listening to the news and then saw it on the cnn website and have seen it before and it is somewhat disturbing to me and wonder if it is to you?

Doesn't calling someone in charge of an American problem a CZAR seem a bit communistic and socialist ?

I'm not so sure I want CZARS running anything do you?

Just an observation.

Down with the car CZAR,down with the car CZAR............

[3SuperSports]

I have a feeling that's what made FORD say "never mind".