The Stimulus Plan: When It Comes To Banks

Are banks that are really receiving federal funds spending that money, our taxpaying dollars, foolishly? The stimulus plan was designed to allow banks to receive federal funds in order to keep banks from failing by having to file for bankrupcy or losing billions of dollars therefore having to sale their company. If banks receive government money the government should keep account of where the money is going. The money that the banks are spending should be open for the public to view. We as americans should have a say so in how theses banks are spending there money. Then I feel that if this is done that united states can progress and escape this economic crisis if banks tell the truth.In 2008, President Bush's adminstration had designed a stimulus plan that would allow the economy to make money as well as help banks have enough money to cover the amount of debt that was gained due to loaning money to individuals that could not pay the money back.By the end of 2008, J.P. Morgan Chase Co. and Bank of America were among 116 banks that received govenrnment bail out money.

In December 2008 Iowa had reported that seven banks receive government funding. These banks included the Heartland Financial USA INcorporation in Dubuque which received $81.7 million; the West Bancorporation Incorporation in West Des Moines which received $36 million; North Central Bancshares in Fort Dodge had received $16 million; the QCR Holdings Inc. in Moline Ill. Had received $38.24 million Green Circle Investments Inc. in Clives had received $2.4 million,and the National Bancshares in Bettendorf, received $e4.6 million. If just in Iowa alone received over $200 million of taxpaid federal funds, where did the money go? How was all that money used?

It is ok for banks to receive federal funding if and only if the banks use and spend the money appropriately. A bank or company should not take the government's money simply because it was offered or given to them. If the bank or company does not really need the money they should simply not take it vs. taking tax-payers hard earned money and spending it foolishly to then give the money back.

Northern Trust Bank plans to repay $1.6 billion in federal bailout money as quickly as possible, after Northern Trust Bank was criticized for throwing lavish parties for its employees as well as clients in Los Angeles, California. Northen Trust Bank is also accuesed fo sponsoring a PGA golf event using government bailout money. The CEO Predrick Waddell of Northern Trust Bank denies throwing these parties for clients and employees and that Northen Trust Bank did not spend the goverenment funds accordingly. I wonder if this is so why does Mr. Waddell feel that his Bank should give the money back so urgently?

If some type of regulations were set in place, the banks and companies that does not need bailout money will not get it. Our tax payers money should go where it is needed.