What the Hell is "Credit Crunch"?

[endlessvista]

Seriously, it has replaced "Climate Change" as the main Orwellian Newspeak of the Moronic Journalists and Mainstream Propganda Networks, but what does the term mean?

Nothing other than a new buzz word from what I can tell. There is nothing actually "cruching" credit right now. Banks are still offering all kinds of loans, credit card companies are still looking for us...so what is the issue???

Me thinks it means absolutely nothing really. Has anyone anywhere seen in any media format an explaination of the term "Credit Crunch" and the underlying factors behind eh...credit crunching?

It's just bollocks it you ask me.

[ennui]

M'colleague on another forum posted a great explanation which I've stolen. I'm afraid I'm a bit dense when it comes to these things but this made sense to me...


The financial market is all about confidence. None of it is real - it's only money. Numbers and percentages and margins. If everyone is confident then people invest and reinvest and prices go up so they invest again and everyone is happy. Then once in a while something happens to remind them that their castles are built of sand. Suddenly noone has any confidence and the prices tumble. Nothing really changed other than the investors confidence.

In this instance, American banks found that selling mortgages made them lots of money, so they pushed forward schemes to lend more and more to the house buyers. Eventually there were so many buyers that house prices went up so people needed to borrow more in order to buy the houses they wanted. Since everything seemed fine the banks felt they could sell more mortgages by lending more than people could afford to pay back. Sounds dumb now, but it must have made sense to a lot of bankers two years ago. What was worse, was that the US banks didn't have enough money to lend so they borrowed that money from other banks around the world - spreading the risks.

The problem came when banks found lots of their customers couldn't pay back their loans. The banks had to foreclose which meant they now had property on their hands instead of a steady income. When this was seen as a pattern, nobody wanted to buy, so those houses weren't worth as much and the banks had lent out. They lost billions and billions of dollars. The numbers are quite staggering. Since the risk was spread it hit major banks around the world. At first they all tried to make out it wasn't so bad and that they could cover it, if only they could write off that bad business as a loss. Sadly it was worse and more widespread than they let on. Now the confidence bubble is well and truly burst. It will take a lot of sticking plasters to repair that bubble.

[homebrew1973]

You can sum it up in just 3 words: A con trick!

[tusme]

Seriously, it has replaced "Climate Change" as the main Orwellian Newspeak of the Moronic Journalists and Mainstream Propganda Networks, but what does the term mean?

Nothing other than a new buzz word from what I can tell. There is nothing actually "cruching" credit right now. Banks are still offering all kinds of loans, credit card companies are still looking for us...so what is the issue???

Me thinks it means absolutely nothing really. Has anyone anywhere seen in any media format an explaination of the term "Credit Crunch" and the underlying factors behind eh...credit crunching?

It's just bollocks it you ask me.
Hi Endlessvista,

At the bottom of the pyramid, is where you'll find us...the debtors.

The Banks & Government are our creditors...

The NWO/Elitists are the Banks & Government's creditors...

The NWO/Elitists (top of the pyramid) have now "crunched their credit"...and what we're experiencing now, is the result...hope that makes sense!? :)

Cheers!

[bendoon]

What the Hell is "Credit Crunch"?

Just a catchphrase they came up with to avoid telling us that the entire financial system of the world is a gigantic fraud.

[tompax]

"Credit Crunch" is a breakfast cereal, surely everyone knows that!

[tusme]

Just a catchphrase they came up with to avoid telling us that the entire financial system of the world is a gigantic fraud.
Hi Bendoon,

Couldn't agree with you more...! What's the odds, no-one will take the rap for all this mess...and the financial markets happily continuing afterwards as if nothing happened...!?

You try doing that to your local bank...and see if they'll accept your reasoning...!?

It's beyond even a "gigantic fraud"...if the "sheeple" can't see it now...how corrupt they all are, then, they never will...! :mad:

Cheers!

[disorder2k8]

"Credit Crunch" is a breakfast cereal, surely everyone knows that!

Lol :D "They're Grande!"

[tracker]

Lol :D "They're Grande!"

its a way of saying

thank you for paying us for something you dont own ,
now we are going to make you pay more annnnnnnnnnnnnnnnnd bye the way ? we are taking it from you now and selling it to some one else .thanks for making us rich too .

byeeeeeeeeeeeeeeeeeeeeeeeeeeeeeeeeeeeeeeeee :D

thats a credit crunch !:cool:

[bendoon]

The total value of derivatives worldwide is over 1000 trillion dollars, the GDP of the world is 60 billion dollars, do the maths on that and you can easily see the present system is unsustainable in the long term.

There has to be either a complete crash or a complete restructuring at some point. When that will be is only a guess, could be next week or maybe 10 years, we are at their mercy really.

From the conspirational viewpoint we would think that a new system will be offered as a saviour, with strings attatched of course.

[killmicrosoft]

"Credit Crunch" is a breakfast cereal, surely everyone knows that!

everyone knows that mate

[disorder2k8]

you should check out the CIA world fact book and see how much are countries are in debt, its silly

[shodan]

As of March or April this year or whenever the credit crunch DID NOT EXIST.

Then, overnight, the controlled media had a blitz about the credit crunch, and lo and behold we got a manufactured credit crunch. and once again everyone is suffering.

Kinda reminds me of the Knife epidemic.

anyone else getting rather fucked off with the obviousness of it all? I mean, I have ancestors, just like all of us, that fought and gave their lives against this crock of shit. No problems here with fighting for whats right.

[stealth]

I think CREDIT CRUNCH has replaced the word RECESSION that every politician hates,just like global warming is now climate change,they don't fool me.:)

[Ian2day]

These words are a part of the media constructed version of reality. They're used to manifest a fear induced paradigm.

[the comuter]

"Credit Crunch" it's the new worldwide TAX eek:

[anyuser]

"What the Hell is "Credit Crunch"?"

I think it may be like a new cereal like captain crunch or cracker pimps.

[amerigirl]

The total value of derivatives worldwide is over 1000 trillion dollars
That's just insane, how many people are in the world?? Like 6 Billion??


Credit crunch-- They're saying that getting credit is sparse and you have to have a really good "credit report" to get any credit. They're crunching in on the credit. If you're crunched, you can't get any credit. If you feel you're in a crunch with your credit just go to credit crunch. com and apply for an Amero credit, that should credit the crunch. But don't use credit as your crutch, because then you would be doing it wrong and you might be putting yourself into a credit crunch.

Hope that makes sense ;)

[legendary]

Seriously, it has replaced "Climate Change" as the main Orwellian Newspeak of the Moronic Journalists and Mainstream Propganda Networks, but what does the term mean?

Nothing other than a new buzz word from what I can tell. There is nothing actually "cruching" credit right now. Banks are still offering all kinds of loans, credit card companies are still looking for us...so what is the issue???

Me thinks it means absolutely nothing really. Has anyone anywhere seen in any media format an explaination of the term "Credit Crunch" and the underlying factors behind eh...credit crunching?

It's just bollocks it you ask me.

it's not bollocks at all. 'credit crunch' is their catchphrase for DEPRESSION, except if they called it that people would lose faith in the government and it would create panic. Basically to explain what has happened, bankers receive bonuses between £100,000 and up to £10,000,000 based on their rank and also how they perform over the year, with the overall aim of making the bank money. however, this encourages the purchasing of risky shares, which in the short term will rise, allowing the banks to make more risky loans and buy yet more shares, and for the banker to get his big fat bonus at the end of the year and buy a new ferrari or whatever, but by the next year when the shares lose all their value and the risky loans they made remain unpaid, it's not the banker who gets screwed, as at the beginning of each business year their records of who buys what start over, so the banker is no longer accountable, and the losses are taken from the banks reserve. the problem hits when the reserves start to empty, as first they will loan from the other banks, who will all be doing similiar things, but after that they will often call for a government bail out, as it would be worse for the government if a major bank went bankrupt than for them to hand out say 80billion out of the taxpayers pocket, which they will then go on to borrow back off another bank and also pay interest upon it. so ultimately, we put our money in the bank and the bankers take it to make risky share purchases and risky loans to drunks and people without jobs who clearly can't pay it back, then on top of that when they run out of money they take it back off of all of us, and on top of that will pursue agressive tactics with regards to repossession of homes where the mortgage is late by less than a month, or doubling monthly mortgage repayments regardless of monthly salary, and throughout all of this, the bank have to try to keep the impression that they are doing well, as if they incite panic and people want to start withdrawing their money or moving their savings, this will bring the bank into even more trouble, as not one bank in the world has even 20% of the savings placed in there stored as hard cash



This is a depression, but like the others before it, i feel it has been manufactured. maybe this will be how they bring in the Amero, after they print off trillions of dollars to sort out the depression, leading to hyperinflation, whereby the people will call for action and Obama will shine forth with 'the Amero', and then Gordon Brown will push in the euro whether we like it or not and people will probably accept it because he was chancellor of the exchequer in the run up to this depression and also budget crisis. funny that....

[cruise4]

They cause the so called economic cycles of rise and fall. Each time they do it they need a new term to confuse the sheeple. This time it's 'Credit Crunch'. It's just made up bollocks.

[legendary]

They cause the so called economic cycles of rise and fall. Each time they do it they need a new term to confuse the sheeple. This time it's 'Credit Crunch'. It's just made up bollocks.

i think through the idea of a credit crunch they are also trying to shift blame to the people rather than the banks, as 'its our fault for borrowing money we couldn't repay' not the bankers fault for making a stupid loan under false pretences or rather concealing the catches in the fine print, and it also kills the idea that it's the bankers fault for trying to take foolish risks on the stock market

[cruise4]

Yes, these terms are very carefully psychologically designed. Of that I have no doubt.

"the bankers fault for making a stupid loan under false pretences or rather concealing the catches in the fine print, and it also kills the idea that it's the bankers fault for trying to take foolish risks on the stock market"

Actually I don't think any of those reasons are valid. It all stems from privatised central banking and fractional reserve banking practise and corruption. It was fraud from the get go.

[teriann]

Check out You Tube...manoftruth.

he predicted this ages ago...

[tusme]

The total value of derivatives worldwide is over 1000 trillion dollars, the GDP of the world is 60 billion dollars, do the maths on that and you can easily see the present system is unsustainable in the long term.

There has to be either a complete crash or a complete restructuring at some point. When that will be is only a guess, could be next week or maybe 10 years, we are at their mercy really.

From the conspirational viewpoint we would think that a new system will be offered as a saviour, with strings attatched of course.
Hi Bendoon,

It's hard for most "ordinary" people to understand those kind of figures, nevermind the finance industry classifications, ie, derivitives, hedge funds, etc, etc...and then, what's to say, it is only 1000 trillion...!? Would you trust what they're saying...!? I wouldn't trust them with my dead dog...!...the swines! :mad:

I know my analysis lacks the figures/facts...but, with that lot, you will never get the true fact n' figures...what exposes them, is the results of all their actions, ie, credit crunch/collapse of the financial services sector...and their response to events such as 9/11...

Not even they, with all their supposed "resources and power" cannot hide the Truth, when it's time has arrived...

And that is what we're seeing now...damage limitation, from both the governmnets & financial institutions, but more importantly, from the NWO/elitists...

There's 2 factors all these BASTARDS have not accounted for here..."People Power" and Truth!

It's these two factors that prevents them from running rough-shod over all of us and giving us their NWO in all it's glory...!!

Anyway, that my "un-scientific" but Truthful analysis... ;)

Take it easy!

Cheers!

[tusme]

The total value of derivatives worldwide is over 1000 trillion dollars

Hi Amerigirl,

Hmm...thats what they tell us...!? :)

Cheers!

[tusme]

As of March or April this year or whenever the credit crunch DID NOT EXIST.

Then, overnight, the controlled media had a blitz about the credit crunch, and lo and behold we got a manufactured credit crunch. and once again everyone is suffering.

Kinda reminds me of the Knife epidemic.

anyone else getting rather fucked off with the obviousness of it all? I mean, I have ancestors, just like all of us, that fought and gave their lives against this crock of shit. No problems here with fighting for whats right.
Hi Shodan,

Yeah..these kind of phrases, they all have their origins in the corporate boardrooms/secret meetings...much like the term, "war on terror" (after 9/11)was sold to the public...!

Although, these phrases are "short termed" catch phrases...they serve exactly the same purpose as their symbols, ie the pyramid...which, we all know, to them of-course, is long term...!

Cheers!

[endlessvista]

"Credit Crunch" is a breakfast cereal, surely everyone knows that!

LOL!

OK Photoshop clever people get working!

[pleasuredome]

http://www.lewrockwell.com/blog/lewrw/archives/crunch.jpg/55802_CaptCrunch.jpg

[real6]

The total value of derivatives worldwide is over 1000 trillion dollars, the GDP of the world is 60 billion dollars, do the maths on that and you can easily see the present system is unsustainable in the long term.



Accounting for the Rothschild Wealth and Influence


Morton (1962) noted that the Rothschild wealth was estimated at over $6 billion US in 1850. Not a significant amount in today’s dollars; however, consider the potential future value compounded over 147 years!

Taking $6 billion (and assuming no erosion of the wealth base) and compounding that figure at various returns on investment (a conservative range of 4% to 8%) would suggest the following net worth of the Rothschild family enterprise:

$1.9 trillion US (@ 4%)
$7.8 trillion US (@ 5%)
$31.5 trillion US (@ 6%)
$125,189.1 trillion US (@ 7%)
$491,409.0 trillion US (@ 8%)

To give these figures some perspective consider these benchmarks:

*

A little of $300 billion US buys every ounce of gold in every central bank in the world (see John Kutyn’s estimate http://www.gold-eagle.com/gold_digest/kutyn111597.html).
*

U.S. M3 money supply August 1997 was $5.2 trillion
*

U.S. debt is currently $5.4 trillion.
*

U.S. GDP (1997; 2nd Q.) is $8.03 trillion.
*

George Soros’ empire is worth an estimated $20 billion.

We shall never have a full accounting of their wealth. All we can go on is Morton’s (1962) comment that their wealth is "ineffable as always." Even our conservative estimates suggest a family with staggering wealth and thus influence. In a world awash in debt and unsustainable fiat currencies subject to implosion, the power of gold and the preference of the Rothschilds to gold cannot be easily ignored.

[disorder2k8]

http://www.lewrockwell.com/blog/lewrw/archives/crunch.jpg/55802_CaptCrunch.jpg

thats so funny :D pmsl

[adzboarder]

you can sum it up in just 3 words: A con trick!

load

of

bullshit

[phaid]

This is taken form this week's Schnewsletter and it helped me understand the hype about what this 'credit crunch' may be down to and the hypocrisy of governments and corporations -

BAIL OF THE CENTURY

AS GOVERNMENTS STEP IN TO PROP UP THE GLOBAL FINANCIAL SYSTEM

SchNEWS never thought that Neo Labour would do so much to boost the welfare state. Over the last six months the government has pumped an unprecedented (and gigantic) amount of cash into the welfare system.
The only trouble is that this money is not heading for the needy, but the greedy as we're talking about the welfare state...for big business.

The country's wealth is being squandered supporting the very company shareholders that have been arguing for years that, in Maggie Thatcher's words, "the business of government is not the government of business." Interfering politicians hell-bent on regulating the market only serve to hamper the competitive spirit, say the profit-hungry capitalists. Unless, that is, the interference comes in the form of hard cash designed to prop up their ailing investments at a time of crisis.

Following 'Meltdown Monday' and the ensuing turmoil in the corridors of global capital earlier this week, rampant free-marketeers are now clambering for more government cash to bail out the banking and financial system. And we are talking intergalactic telephone numbers.
After years of sucking out huge commissions, profits and bonuses (Krug all round!), recorded losses for the banking and insurance sectors are now running at £275,000,000,000 - and it is estimated that this figure will double over the next twelve months. So far the most 'market friendly' governments in the world have pumped enough money into the system to cover 80% of these losses. Some analysts are estimating
that Western governments will spend $1 trillion of public money bailing out the financial corporate sector and it's shareholders.
Shareholders who have been only too happy to reap the benefits in recent years, without ever worrying about how their miraculous wealth was actually being created.

It's worth remembering how this whole mess started. Offering loans at 'normal' rates of interest was just not profitable enough for some banks. They chose to lend to people on lower incomes and adverse credit histories, charging a much higher interest rate. If you can borrow money at 4%, why lend it at 8% if you can charge 40% plus fees? Typically such loans were secured on people's homes, so if they defaulted the bank could get the money back via repossession. But alas, the value of property has crashed, reducing the banks' ability to claim the cash back upon the sale of a house (the classic confidence supported pyramid scheme collapses) - meaning they have to write off all these debts.

The cost of these 'write downs' has sucked up all the available cash in the system, meaning that there's hardly any money available to borrow, leading us into the 'credit crunch'. With two-thirds of the UK economy based on consumer spending (and most of that consumer spending taking place on the back of rocketing house prices) the system soon fell apart and we are now heading into recession - all because of the short-term profit aspirations of a banking sector we have no control over. Now the crisis is deepening as the value of these write offs start to exceed the value of the companies themselves - leading to their bankruptcy.

But never fear, the taxpayers can pay the price of all those failures! With government bailouts, shareholders' investments are being protected at the same time that the poorest in our society will bear the brunt of any economic downturn. On Tuesday alone, the Bank of England pumped twice the annual Housing Benefit budget into the banking sector. The debt owed by Northern Rock (£17bn) would be enough to pay for 900,000 nurses for a year!

CASH CONVERTERS

Over the pond in the heart of Neo-liberal capitalism - the US of A - the numbers get even bigger. In an unexpected twist to their economic policy, the Bush Junta has brought three huge private companies into common ownership. Of course we don't use language like 'nationalisation' anymore - this is a much more market-friendly form of 'conservatorship.' In the US Fannie Mae and Freddie Mac (two of those recent purchases) are the biggest providers of secondary mortgages and they've really come a cropper in the recent economic
crisis. Earlier in the month the US-treasury bailed them by guaranteeing their balance sheet to the tune of $3.5 trillion -
that's 200 times bigger than the Northern Rock bung and is the equivalent to ten years of US government spending on welfare.

For some time UK plc has been bunging its own wads of cash into business in the form of regeneration funding and hundreds of grants schemes for small and larger businesses alike. As the already-rich receive a new subsidy, the working poor are given a kick in the teeth. Back in April 2005, the Blair government said that it was 'inconceivable' for it to 'interfere in the market place' to prevent MG Rover going bust.

While a billion couldn't be found to save 18,000 jobs (not that SchNEWS really minded a car company going bust), somehow they could sling 40 times that amount to bail out Northern Rock, 28 months later.

One of the arguments put forward to not helping Rover was that the business was going to make a loss of £200m. But last month Northern Rock confirmed that its loss for the last year was £585m. Clearly the message is that if you're working class you can take a hike, but if you're a member of the business elite you can hold the government to ransom and there'll never be a need to worry about not having enough
cash to pay your kids private school fees.

Against this backdrop, welfare benefits for the sick and disabled are, according to Neo Labour , - "no longer affordable in the modern age." (See SchNEWS 516) Now ministers are planning to push people off Incapacity Benefit and Disability Living Allowance and into dead-end
menial McJobs. If they refuse, a US-style welfare-to-work scheme is proposed where people who've been out of work for more than two years without 'good cause' will be forced to work on the cheap for various corporations in order to get their benefits (See SchNEWS 614). So a lone parent on £125 per week would earn less than £3.50 an hour for a full time working week - just 40% of the minimum wage.

The UK spends £20bn a year on these sickness and disability benefits - £5bn less than the 'loan' fund it donated to the banking sector in just one day. Meanwhile new cash injected into the Social Fund - a source of interest-free loans for people on low incomes, including grants to help the mentally ill return to the community and emergency loans to re-house families who've lost their homes due to fire or flood - stood at just £81m for the whole year.

Whilst there has been a little talk about more regulation, nobody has stood up in parliament and called for a major rethink about the way we run our economy. And no wonder - all their pensions are linked to the value of shares in the very businesses the government is propping up!

But the hypocrisy doesn't stop there. For years we heard the same old story about how there's never any money for a liveable benefits system or a decent minimum wage, but somehow UK plc finds billions of spare cash to support corrupt businesses that are in a mess only because of a greed that has benefited no one but their shareholders. For years we've heard the mantra that the free market must be allowed to run unfettered - yet the most 'capitalist' governments are nationalising huge companies left, right and centre. It just goes to show that capitalism is a myth and the sooner we stop wasting money propping up a failed system that will never work - the better.

http://www.schnews.org.uk/archive/news647.htm

[cruise4]

I never got a free helicopter. I'm going to complain.

[marpat]

Seriously, it has replaced "Climate Change" as the main Orwellian Newspeak of the Moronic Journalists and Mainstream Propganda Networks, but what does the term mean?

Nothing other than a new buzz word from what I can tell. There is nothing actually "cruching" credit right now. Banks are still offering all kinds of loans, credit card companies are still looking for us...so what is the issue???

Me thinks it means absolutely nothing really. Has anyone anywhere seen in any media format an explaination of the term "Credit Crunch" and the underlying factors behind eh...credit crunching?

It's just bollocks it you ask me.

Something has changed, the interest on my account has dropped to just under £50 a month.

[drhemp]

I can imagine them sitting in a committee trying to think of another word for recession. I wonder who originally came up with the idea that renaming a recession to something that sounds like a breakfast cereal, would fool the sheeple that everything is ok?

http://www.canedintotnes.co.uk/images/twr/credit_crunch.jpg

[armoured_amazon]

I can imagine them sitting in a committee trying to think of another word for recession. I wonder who originally came up with the idea that renaming a recession to something that sounds like a breakfast cereal, would fool the sheeple that everything is ok?

http://www.canedintotnes.co.uk/images/twr/credit_crunch.jpg

I love this. LOL! :D