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Australians getting bent over by banksters too. "Mother of all bailout funds"

Anybody keen for a loan of $380 billion at, let’s say, an interest rate of 3.4 per cent?

Sounds nice eh? Well, you the taxpayer are in the process of actually making such a loan. Or at least you will soon extend, most kindly if as yet unwittingly, such a credit facility to the big banks, to be used at any time, at their discretion.

Taxpayers already guarantee some 60 per cent of bank funding via the deposits guarantee for zero compensation.

Yes, it is execptionally generous, the so-called Committed Liquidity Facility, which is in effect a permanent bailout facility which comes into play in 2015.

In a story somewhat interred in the inside pages of the AFR this morning, Christopher Joye makes the point that this massive line of credit is unusual and generous by global banking standards and it has been established with “no public debate”.

“Smaller building societies and credit unions are not subject to the liquidity tests and will not, therefore, have access to the bailout fund,” writes Joye.

To put this in perspective, bank loans to small businesses now average 8.45 per cent. Secured by the businessperson’s residential property they are priced at 7.6 per cent.

The average mortgage holder is forking out 5.65 per cent fully discounted.

Yet the biggest businesses in Australia – CBA, Westpac, National Australia and ANZ – will be able to trot down to the Reserve Bank, lodge a bunch of their own loans – car loans if they like – and march off with billions at the bargain-basement interest rate of 3.4 per cent for 12 months or more.

Not only do taxpayers already guarantee some 60 per cent of bank funding via the deposits guarantee for zero compensation, but the wholesale funding guarantee – with its prejudicial pricing in favour of the Big Four – is still in play until 2015, and now, we have the mother of all bailout funds.



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The enslavement of the human race to banks and government.

Bankers and politicians and the elite get to live like lords and kings with the tax payer guaranteed to pay the bill in taxes.

Now this is the reason for the American Revolution, and the French/Russian revolution. The people were kept in poverty as slaves to the needs of the wealthy and taxed to death. Kind of like the movie The Hunger Games.

This is why our ancestors came to America, to end that enslavement to the British banking system and monarchy. Yet it returns full force and has been a parasitic presence in the world since CENTRAL banks gained a foothold globally.

Ron Paul was and is right. The central banks like the FED need to END. The central banking system everywhere on the planet needs to end.