Anyone who's seen this episode of South Park might know where I'm going...
A few banks have been publicly dragged after their complete collapse and inability to serve customers due to their overconfidence in the bond market.
No, no... not James Bond... more like Treasury Bonds, etc. If you're unfamiliar with the term, don't stress... most of us are.
You might have guessed... the banks that hold insanely high interest over the little guys used customer money to try making a quick buck. They sought to protect their investments from inflation with those bonds we talked about. But what now?
Just like my mom last month, they're going to need some bail money. Regional banks will seek capital from larger, more well regulated banks or they'll be forced to close like the others, or be bough out by a larger organization. And then what?
Well, like any good American Economics lesson... Uncle Sam will get the last laugh here. The government will site these issues as justification to more heavily regulate, control, and tax financial institutions, who will in turn pass the cost on to YOU, their customers.
@Brandon Childers @Brandon Childers