Yours Truly, The Banks

Kind of going off of Jane’s post last Sunday about Chase beginning to cut ties with Obama, this is a little bit of a devil’s advocate post that I wrote to present a different side of the story. In our Democratic surroundings, it’s easy to get caught up in the bank-bashing sport, and yes, I get why people hate the banks. I really do, but I also think that there are two sides of the story and we generally only hear one. I also think the banks are being clumped up into one big category when each bank has a different story. So here is what I imagine an executive at a bank would write in a letter to President Obama.

Dear Mr. Obama,

In the beginning, a lot of banks put a lot of hope in your administration. I believe you mentioned that our badly weakened economy was “also our collective failure to make hard choices and prepare the nation for a new age.” This seemed to give recognition to the fact that in addition to the management of some banks making poor decisions, there were also bank regulators at major banks reviewing lending practices, consumers taking out highly leveraged loans, lawmakers promoting that every American should own a home; poor decisions were made by many. But now, we feel betrayed by your actions and your words.

Let’s start with your actions. We didn’t need your TARP money. We didn’t even want it. But you forced us to take it. Then, when we tried to spend it, you pointed the finger at us, blamed us for the recession, called us irresponsible for paying bonuses to our executives, even if they earned it. You lowered the taxes on the middle classes. But you raised the taxes on my business. A special tax just on banks. Is it really fair that I have to pay a special fee just because I am in the banking business?

In the Federalist Papers, part of the government’s duty was to safeguard the minority against the tyranny of the majority. Well, the majority hates the banks right now. They screamed for blood, shouted that we make less, were enraged at the injustice of us, at the banks, making money. But instead of protecting us and our right to run our business, you gave into the majority. Instead of assuaging their anger, you fed the flames, adding to the animosity against us with your defamatory words condoning us for how we run our business. You did not protect us from the majority. You joined them, attacked us and made things worse.

We have since paid back the TARP money, even the steep interest. Yet, you propose to tax us more. We can’t make loans to the small businesses that you want us to loan to if we have no money because you’ve taxed it . Question: GM received TARP money as well. They have yet to pay it back. Why are no fingers pointed at GM? Why are no extra taxes being imposed on them?

I’m not sure if it’s a coincidence that the week you propose to tax us even more, the stock market fell 500 points. People have no confidence in us, and worse, perhaps no confidence in you.

President Obama, you are the leader of our country. You can be the role model who demonstrates collaboration. None of us can fix the economy on our own, not the government, the banks or the consumers. Let the best minds work together, from government and banks, to collaborate on how to best help our economy; let us be a team rather than adversaries.

Yours Truly,

A bank executive

Thoughts? Comments? Concerns? Criticisms are welcome... expected even.