I'm Scared

[marcus335]

Who is personally benefitting from the $286 billion in interest then?  I'm thinking it's not shared with the shareholders of those banks and obviously isn't on their earnings statements.  Where does it go?

[dwj469]

to china and the middle east. Just kidding good question

[marcus335]

Yeah, I'm not sure this is as bad as it seems.  If the FED then sells those bonds to investors to get it's money back, then really they are just an intermediary.  Their only "profit" would come from the difference between their purchase and sale price of the bonds.  The real people that get the interest are the people holding the US bonds.  That would be primary foreign countries at this point.

It sounds like without the FED we'd just print money to cover any deficit.  That sounds like as sure recipe for huge budget deficits and rampant inflation.  That's not a good solution either.

We really need to get government spending under control then only print enough money to meet GDP growth and print it interest free.

[premierlender]

i think it depends on what you are looking to do with your property on what is the best for you hard money or traditional. If you are flipping your houses and can do it in 3 or 4 mos. then hard money will be sufficient and probably easier but if you want to keep the properties as rentals or plan on having them awhile 4,5,6, mos. or more then traditional financing might suit you better....hard money is more expensive.

Matt