A few days ago JP Morgan announced that it was going to stop making student loans. Great, who needs them?
Since the crisis the banks have been largely irrelevant when it comes to lending. Bank credit has only really grown with respect to auto financing, however, real estate, student loans, it's been all government.
Take a look at this chart. It's a chart of the dollar volume of student loans being made by the Federal Government. We don't need the banks with the government lending like this.
The crisis has exposed one glaring fact...that the banks are good at one thing and one thing only and that is gambling in the markets and losing money. (Then extorting us to pay them back for their losses.)
Oh yeah, if they make money (and it happens from time to time) it's only because their bets are rigged, like with Libor, which is nothing more than outright thievery. (And the Fed does nothing.) Oh yeah...and fees.
I don't know how many of you have had this experience recently: go into your local bank...they are so courteous and nice and friendly, right? But you just know they're screwing you in some other way.
Anyway, check out JP Morgan's financial statements. The nation's largest bank makes a paltry 1.0% return on assets. Great job, Jamie Dimon! You're a true, Master of the Universe!
And by the way, the only reason it even makes that ridiculous 1.0% is because the U.S. government--WE THE PEOPLE!--pay it welfare in that amount. That's right...interest on our own, freakin' money that we create without limit.
The poor get nothing, but we give $30 billion to JP Morgan. America...what a country!
