Cancelled all my cards/accounts with these clowns two years ago and steered all of my 3 kids away from them. Let them rot in Hell! Worst of the worst.

STFR is the new BTFD.

Apologies for something not entirely related, but I thought this was interesting.

Comparison of the US against other IMF "advanced economy" countries:
http://www.nytimes.com/imagepages/2011/0....

Notice that on math the US is in the same neighborhood as Portugal, Italy, Ireland, Spain and Greece. Hmmm, I wonder if those other countries are experiencing problems related to being unable to "do the math"....

I have resigned myself to the fact that Karl's efforts of "stop the looting and start prosecuting" have successfully been beaten back . There will be no Jail time, there won't be anything more than a few wrist slaps. The sick part about this is that owning up to mistakes or calculations made and have mark-to-market come back to show the insolvency of the banks plus arresting those who participated would be looked back upon as a true turn to the better for the economy.

I don't know how many times I have tried to strike up a conversation with people on this and have been shot down. They just don't want to hear it; Conservatives or Liberals. People's attention span is way too short and this is complicated. By the time you get the Mark-to-Market they are long gone and are thinking about which restaurant they should go out too.

The problem is, I can't let go of this becuase it's still occurring right out in the open. Karl's tickers have followed each possibility that something will be done. Hope rises , then is crushed. Small businesses are taking a beating which is the job engine that would start us on the long road to recovery. The Banks know this too, but anything that threatens their power is stomped on.

Sorry for the downer mood, but I look at the news here and other places and then it disappears into the nether land because there is nothing to write about. It's been "disappeared". Anyone have any hope out there?

Dburn,

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Anyone have any hope out there?

How about some "Hope & Change"???

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I don't know how many times I have tried to strike up a conversation with people on this and have been shot down. They just don't want to hear it; Conservatives or Liberals. People's attention span is way too short and this is complicated. By the time you get the Mark-to-Market they are long gone and are thinking about which restaurant they should go out too.

I am in the same boat. Everyone thinks I am crazy when I tell them that we are speeding toward a wall and still shoveling coal into the boiler. I have stopped trying to convince anyone. My wife just accepts it as one of my eccentricites. She allows me to stow some more food, water, supplies, lead and such away, but she just nods and says "Uh huh." when I tell her what's coming.

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Small businesses are taking a beating which is the job engine that would start us on the long road to recovery.

And, at the end of the day, how many more small service businesses can we support? And most people who have the entrepreneurial bug can't afford to start a manufacturing business.

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The Banks know this too, but anything that threatens their power is stomped on.

The banks have no interest in improving anything except their own position.



*********************************

People haven't lost enough yet. When their 401k goes down by half and doesn't come back they will finally speak up. But it's too late by that point, the bankers will be flying out of the country with your money.

To be quite honest, I really believe they deserve to steal the American people's money. How many times do you have to watch the same movie before you learn?

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Anyone have any hope out there?

Yes, I have hope in the collapse! It's deserved and needs to happen to wake people out of their delusional slumber!

I thought a "goodwill impairment" was an income tax deduction given to corporations when they generously overpaid for the acquisition of another corporation. If so, then this increase should decrease BofA's tax liabilities for the years in question.

The increase in goodwill impairment is justified since it obviously is associated with the acquisition of Countrywide Financial and/or Merrill-Lynch.

That should make everyone happier knowing that BofA will pay less taxes because they overpaid for garbage.

Anecdotal - I know someone personally who did a short sale with BAC (it was a Countrywide loan) almost 3 years ago. The property was in Palmdale, CA.

Because the family HELOC'd the thing every time ****-trywide threw an offer at them, they ended up owing nearly $200K on a house they originally paid about $100K for. It was fun while it lasted I suppose.

When things blew up, the wife lost her job and the husband got reduced hours. They hit the wall financially. Credit dried up, so the money trough they had gotten used to was gone. They ended up walking away in 2008 but did it via a short sale at an agreed upon price with a buyer arranged by BAC. The price was close to what they had paid for the house in 2001. (Roughly $90K)

They felt relieved to be out of the situation and they thought they were done with it. Life has moved on and they've been renting a house in Arizona that seems to be within their limited means.

Fast forward to 2011. A few weeks ago, they got a 1099 for nearly $100,000 from Bank of SCAMerica. They don't have that money (outside of 401K's) and will get destroyed by the IRS - as that's probably going to mean a $35 to $40K tax bill.

Needless to say, they are freaking out. I believe this is an under-appreciated thing that is going to be happening to people who think they've beat the banks.....

ETB, tell them to see if they qualify to not be taxed on that per the Mortgage Forgiveness Debt Relief Act of 2007.

http://en.wikipedia.org/wiki/Mortgage_Fo....

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Fast forward to 2011. A few weeks ago, they got a 1099 for nearly $100,000 from Bank of SCAMerica. They don't have that money (outside of 401K's) and will get destroyed by the IRS - as that's probably going to mean a $35 to $40K tax bill.

Needless to say, they are freaking out.

They really need to see an accountant for their taxes this year. They need one with experience with insolvency claims. (form 982) They may be able to file for insolvency. Not all accountants know what they're doing with insolvency, so they should be prepared to shop around a bit.

(If they don't qualify for what Spence is talking about, that is.)

.... 10 days ago.

http://market-ticker.org/cgi-ticker/akcs....


I’m dumbfounded. Was it not enough to be able to achieve any sum they wanted using Mark To Fantasy to mark-up their “toxic assets”? Good work KD! $75 billion in Goodwill and $10 billion in “intangibles”.

Apparently seeing a comparison with the prior year it’s not the first time they’ve incorporated this gimmick! Perhaps, now, I understand the reluctance of a CFO at one of their closest competitors to sign off on a few of his bank’s financials.

May I simply sum the two amounts together and round it all up to the nearest $100 billion .. of intangible assets / goodwill. How I’d love to get my hands on those “intangibles”. I understand where the “will” comes from, but the “good”ness eludes me. I see at the top of the page you so artfully captured a line that reads “(Dollars in millions)”.

“Dollars” … something I understand. I think have one or two in my wallet. Ah.. yes. It reads Federal Reserve Note at the top and some small type indicating “This note is legal tender for all debts, public and private, and then there’s the scent. Actually I can’t discern the scent, but I understand it can draw a raft of investment bankers faster than bees to a hive of honey.

“Dollars”. It must be real! All these years believing goodwill and intangibles represented something lost in the ether of nothingness. Pardon my naivety.

I wonder how large the vault is that stores $100 billion in goodwill. EXCUSE me for the small rounding error, just because I like nice, round numbers. $85 billion if you must quibble, is still a very large number.

I wonder if all this “goodwill” sits in tightly stacked suitcases filled with dollar bills. I won’t take offence if it’s represented in larger denominations, gold bullion, old Morgan Silver Dollars, or ancient doubloons. It’s all fine, as long as I can hold it, touch it, or perhaps buy a congressman or two with it.

Perhaps all that cold hard cash sitting in their “goodwill” account can be put to some “good” use. It could be used to help put customers having defaulted credit or home mortgage accounts reflected in the color of blood back into black.

… Since the bank no longer gives out toasters to new customers opening a new account, perhaps they could give a $100 gift card of “intangibles” that could be spent on theatre tickets or at restaurants.

…Or give out coupons for food. That would be of immense help to governments having a hard time raising cash to support a growing burden of costs in their food stamp programs.

The entire globe is aware of a revolution taking place in Egypt.

Perhaps they could use their idle “goodwill cash” to work out something with the airlines - to give a few of them otherwise empty seats, and arrange a short stay at a red-roof inn in rooms that otherwise be empty in these difficult economic times.

Their visit to America could be culminated with a tour of your headquarters where they could marvel at the similarity of its design to their own pyramids and gawk at the architectural significance of the spires crowning the building. Inside they could be lead to an office room offered to a former “CEO in waiting” surely preserved for its immense historical significance where they could stare with wonder at the craftsmanship used to design a $35,000 commode.

….
I hear the snickers. It appears no one takes me seriously. I apologize, and take back one of my comments. The entire world knows congressmen can’t be bought.

I’ll part with a more serious note.

Having established the tangibility of their reported intangibles; instead of giving bonuses in shares or cash; and instead of paying executives and board members with moneys from “cash and cash equivalents” pay them with dollars from the “goodwill” account. There’s plenty of "goodwill" funds to keep their executives in the lap of luxury for many years to come.

....................

for those of you who failed to understand my humor...
....
the tangability of the "intangibles" (and "good"? will) I refer have as much substance............... as the "make believe" tea and tea biscuits Alice shared with the "Mad Hatter".

..............although I recognize that while "sometimes" intangibles and "goodwill" have value, my contention is that, at least in this example, they do not!