Banks that needed billions to stay in buisness are now reporting record earnings less than 9 months after the bailout.
By Daniel at 17 July, 2009, 5:05 pm
Could that be because of all of the raising of minimum payments on credit,raises in interest rates on all borrowers,raising the cost of transactions through debit cards and credit cards to vendors and so on and so forth.The economy isn’t getting better.All that is happening is that the banks have found a way to suck more blood from their clients.They’ve also profited from the record gains that the stock market has had over the last 3 months.No money is actually changing hands in this country just numbers on balance sheets and some slight of hand accounting tricks.Poll the average American and you’ll see that the economy has done nothing but drain them worse now than ever.
They all claimed that if they didn’t get the money from the gov. they were going to go bankrupt. I hope we are charging them 29% interest like they charge the rest of us.
This shouldn’t come as a surprise to anyone. They’ve raised their interest rate, their fees, their gauging, their theft. It must be good to be Bank of America and know that you own a country and the 300 million people that inhabit it are your slaves.
Bank of America earns $2.4B, ahead of estimates
CHARLOTTE, N.C. (AP) — Bank of America joined other major banks in reporting better-than-expected second quarter income Friday, earning $2.42 billion even as losses from failed loans continued to rise.
The results, which included $713 million of dividend payments tied to a federal bailout, compared with profits after preferred dividends of $3.22 billion in the same three-month period a year ago.
Earnings per share, which reflected a much higher amount of shares outstanding, fell to 33 cents from 72 cents. That was well ahead of the 28 cents per share forecast of analysts surveyed by Thomson Reuters.
The results also reflected a $5.3 billion pretax gain from selling part of the bank’s stake in China Construction Bank Corp. and a charge to bolster a federal deposit insurance fund.
Separately on Friday, Citigroup Inc. reported that it earned $3 billion after preferred dividends, or 49 cents per share. Analysts had predicted the New York-based bank would post a loss.
BofA’s CEO Ken Lewis said in a statement that continued weakness in the economy, rising unemployment and deteriorating credit quality would affect the company for the rest of this year and next. That echoed views from JPMorgan Chase & Co. executives, who also reported continuing loan problems Thursday even as their company posted strong second-quarter earnings.
Despite higher earnings, Bank of America’s shares fell 32 cents, or 2.5 percent, to $12.85 in midday trading Friday.
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