Don't blame the pushers, blame the crackheads???

I am having a debate with a new found friend on Twitter @REcrab. We met through @tom_peters, who really knows how to spark debate.

Earlier today I tweeted: "If the Gov't investigates BP 2 the Nth degree 'to make sure it doesn't happen again', when can we do the same to Congress abt fin. meltdown?" Tyler tweets back "Congress caused the meltdown?Thought we did not like regs. You got what you get with no regs. " and off to the races we went.

My contention is that Congress' intention to create 'affordable' housing for all Americans basically unlocked the bank vaults and left the doors unattended. Everyone wants to prosecute the bankers and brokers but the politicians and policy makers get away scott free and NO ONE in Washington loses their job.

Let me make myself very clear! I have virtually NO respect for bankers. Absolutely NO respect for credit card companies and the same goes for brokers and mortgage sharks. These guys are responsible for the bastardization of the system, but look at it this way: if you leave bags of money on the curb by the street, don't exclusively blame the people that come along and walked off with the money. The doofus who left the money out there carries 51% of the blame IMHO.

One lesson that I have learned after 30 years in business is that banks DO NOT lend money to people that don't have any money. That rule is carved in stone. They will lend OTHER PEOPLE'S MONEY if they have it to lend and if the other people will guarantee to hold the bank harmless.

Sure, there are always going to be swindlers when there is a butt-load of money sloshing around. You can regulate as much as you want, but when you are being told to lend money to people that are NOT creditworthy, bad things are going to happen. Most people are 'not creditworthy' for a reason. They are either too poor or too irresponsible. Nothing wrong with being poor. Irresponsible is tough to fix, though and luck has nothing to do with anything.

Bottom line? For the evil financiers: Hang 'em high, but be sure to leave room on the yardarm for the politicians.

Settle the score on November 2.

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