GM pays back US & Canadian loans way early

[Brokinarrow]

Originally Posted by Xanthos

GM requested the federal bailout money in a time of hardship. When they received that money, a certain amount of it was given as a loan (unsecured, to be repaid) and the rest was treated as a government investment in the company in the form of stocks. GM did not have to use the entirety of the money from the loan portion before they got to the point where they felt they were profitable enough to use that and some of their cash reserves to repay the remainder of the loan. I really don't see how this is a problem in any way.

Say I, as an individual, go to the bank because I'm having trouble with bills. I request and am approved for a 1500 dollar signature loan on a 12 month term. I take that loan, use 600 of it for bills, and set 900 aside in a savings account in case I need it while I get back on my feet. I then proceed to pay off the signature loan without touching the 900 in that savings account. Awesome!

Alternatively, lets say two months into the loan term I get back on my feet enough that I feel comfortable covering my expenses without that "rainy day" backup fund. The remaining balance on the loan is, for the sake of discussion, 1300 dollars. I take that 900 dollars, plus 400 dollars of money from my income (or anywhere, really) and pay off the signature loan. How is this any different, aside from the balance of my bank account after payoff and the time between disbursement and payoff?

Honestly, I don't see why anybody is upset by this. GM paid back the money they borrowed early at the expense of their total cash reserves. Only time will tell if it was a good decision for the company, but it is nothing but good news for the government.
- X

nailed it! Like I said earlier, this is just GrASSley trying to make himself more visible. Typical political maneuvering. End thread?

[Brokinarrow]

Originally Posted by ssump29

Then you are in for a long and stressful life. Worry about what you can control, not other's issues.

Exactly. As long as I have my freedoms I am happy. Try and take those away though... it won't be pretty

[Hylton]

Originally Posted by ssump29

To tell everyone the truth I could CARE less and you should to what GM does with THEIR money. If you want to bitch about a 65bilion loaned to them by the government that will get paid back sooner or later then you have a problem. And if it doesn't who cares, its not going to affect you but what is going to affect you is this TRILLION some dollars for health care reform.. Worry about the big issues not these small peas in the gallery.

My piece has been said, hope everyone quits worrying about them making payments.

We are just having a discussion here. No need to get all upset about things. Anyways, I beg to differ with your comment that "we should care less about what they do with THEIR money". You see, it was OUR money that the govt. lent out and I don't remember having the opportunity to yay or nay the deal.


Now I want GM to succeed just as much as the next guy. In fact, I don't think their is one person in this thread who does not want that to happen but the act of a govt. taking control of a company and lending it money is a very slippery slope for anyone who believes in capitalism. The ideology is just plain wrong (unless you live in China) and frankly gives me the creeps.

[Supermans]

Originally Posted by ssump29

Then you are in for a long and stressful life. Worry about what you can control, not other's issues.

I live in America. It is "We the People" I do control what the Government does or does not do. That power lies at the voting booth, and in the free press which allows me to say what I want to say. In fact, all American's do. Not being in control is how Europeans have to react to the Government controlling their lives. If you want to sit back and take everything the Government does with your tax dollars up the rear, that is your business. However telling others to sit back and take it too is not something most Americans will do..

Originally Posted by Hylton

We are just having a discussion here. No need to get all upset about things. Anyways, I beg to differ with your comment that "we should care less about what they do with THEIR money". You see, it was OUR money that the govt. lent out and I don't remember having the opportunity to yay or nay the deal.


Now I want GM to succeed just as much as the next guy. In fact, I don't think their is one person in this thread who does not want that to happen but the act of a govt. taking control of a company and lending it money is a very slippery slope for anyone who believes in capitalism. The ideology is just plain wrong (unless you live in China) and frankly gives me the creeps.

We will have the opportunity in the coming elections to yay or nay everything that we don't like. We'll see how American's feel at that point whether or not they like what is going on or not.

[Brokinarrow]

Originally Posted by Hylton

We are just having a discussion here. No need to get all upset about things. Anyways, I beg to differ with your comment that "we should care less about what they do with THEIR money". You see, it was OUR money that the govt. lent out and I don't remember having the opportunity to yay or nay the deal.


Now I want GM to succeed just as much as the next guy. In fact, I don't think their is one person in this thread who does not want that to happen but the act of a govt. taking control of a company and lending it money is a very slippery slope for anyone who believes in capitalism. The ideology is just plain wrong (unless you live in China) and frankly gives me the creeps.

[ssump29]

Originally Posted by Sax1031

I am sorry if you don't care at all about what the government does with OUR money.

Again it's not YOUR money once you get your taxes filed and get whatever money back that you are going to get or pay whatever in, your finished you have no say. Consider it an expense to live. Otherwise I guess you can complain about how Nike, Verizon and any other company you spend your money with, chooses what they want to spend their money on. I mean because after all it's YOUR money right that they are spending?

[Unfair]

Originally Posted by ssump29

Again it's not YOUR money once you get your taxes filed and get whatever money back that you are going to get or pay whatever in, your finished you have no say. Consider it an expense to live. Otherwise I guess you can complain about how Nike, Verizon and any other company you spend your money with, chooses what they want to spend their money on. I mean because after all it's YOUR money right that they are spending?

Taxes for the betterment of a government from it's citizens are a bit different than a voluntary purchase you made for your self and are making payments on.

[Sax1031]

Originally Posted by ssump29

Again it's not YOUR money once you get your taxes filed and get whatever money back that you are going to get or pay whatever in, your finished you have no say. Consider it an expense to live. Otherwise I guess you can complain about how Nike, Verizon and any other company you spend your money with, chooses what they want to spend their money on. I mean because after all it's YOUR money right that they are spending?

Are you seriously trying to compare a private company with the government?

[Hylton]

Originally Posted by ssump29

Again it's not YOUR money once you get your taxes filed and get whatever money back that you are going to get or pay whatever in, your finished you have no say.

Good thing the Boston Tea Party never happened. Hey wait a minute.....

[Brokinarrow]

Originally Posted by ssump29

Again it's not YOUR money once you get your taxes filed and get whatever money back that you are going to get or pay whatever in, your finished you have no say. Consider it an expense to live. Otherwise I guess you can complain about how Nike, Verizon and any other company you spend your money with, chooses what they want to spend their money on. I mean because after all it's YOUR money right that they are spending?

O.o I don't even know where to begin with this one.

[ssump29]

Originally Posted by Supermans

I live in America. It is "We the People" I do control what the Government does or does not do. That power lies at the voting booth, and in the free press which allows me to say what I want to say. In fact, all American's do. Not being in control is how Europeans have to react to the Government controlling their lives. If you want to sit back and take everything the Government does with your tax dollars up the rear, that is your business. However telling others to sit back and take it too is not something most Americans will do..



We will have the opportunity in the coming elections to yay or nay everything that we don't like. We'll see how American's feel at that point whether or not they like what is going on or not.

And the voting is a Joke they lie and tell you want you want to hear and do the opposite once in power. REALLY how many Americans are opposed to the new Health care bill and don't want it? Does that mean WE are going to stop it? Yeah that's why they are still going to do it and spend a bunch of OUR "so called money". To me the whole voting has become a joke because none of the governing body works for the people, they tell you what you want to get your vote and once in don't listen to you but just do favors for their own political buddy's and own advancement. Relying on the government is like relying on McDonald's to help you stay on a healthy diet, neither are good at either job.

And Newsflash it's not gonna change with any new elected officials, more change for the worst then the good. We might as well be Europe because the people you elect are just telling you whats good for you and whats not now and still not giving you a choice. Just enjoy the Freedom that we do have now.

[ssump29]

Originally Posted by Unfair

Taxes for the betterment of a government from it's citizens are a bit different than a voluntary purchase you made for your self and are making payments on.

exactly my point but neither is going to listen to you when it comes to spending the money they have on hand.

[ssump29]

Originally Posted by Hylton

Good thing the Boston Tea Party never happened. Hey wait a minute.....

Times have changed, don't even know why you would bring that up. Try that now-a-days and watch what happens. You will be sitting in jail or shot.

Those weren't peaceful protest back in the day. Hell miltias use to be the way to over throw the government way not do that now??....

[Hylton]

Originally Posted by ssump29

Times have changed, don't even know why you would bring that up. Try that now-a-days and watch what happens. You will be sitting in jail or shot.

Those weren't peaceful protest back in the day. Hell miltias use to be the way to over throw the government way not do that now??....

Are you saying that we should all just shut-up, bend over and take whatever the govt. plans on giving us? The reason I bring that up is it is considered ground zero for the creation of the USA. Think about that for a second - the very reason the USA exists is because "the people" had enough of the govt. doing whatever it wanted.