Governments $700 billion bail out. Are you kidding me?

The Government plans to bail out some of the largest failing companies in the financial sector with over $700 billion dollars. Not Million. $700 BILLION.

Are you kidding me?

The plan is to bail out the tottering financial firms that are suffering because of the weakened economy. The problem is that nearly all businesses and people are suffering because of current economy as well. Why bail out the big boys?

Financial firms such as Lehman Brothers and Bear Stearns are supposedly filled with some of the best financial minds in this country. Not so.

These are the same companies which funded mortgage backed securities. Mortgage loans. These are now rotten assets.

What did they expect was going to happen?

Lenders would give a mortgage loan to anyone. Someone with a 500 FICO could get mortgage with only putting 5% down.

Now if someone has a 500 FICO score, they absolutely have a history of late payments.

They had a clear history of being bad with money before they got the loan.

What did the banks think was going to happen?

Here is the scary part...

The government is trying to move quickly to repair the beat up economy.

However, it's not a quick fix.

(The last time the government moved quickly was the economic stimulus package earlier this year. How did that work out?)

The country did not get in to this mess quickly. It was over 5 year of poor lending practices.

It is going to take a few years to climb out of this.

Quick moves in congress will only put a small band-aid on a blood gushing wound.

The economy needs time. As the old saying goes, “Time heals all wounds.”