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Why do people actually believe GM has paid America back?

Far be it for me to rain on anyone's parade, but don't be fooled: General Motors has not paid its debt back to taxpayers.

The company got $50 billion from our government, and $10 billion more from Canada. They have paid the U.S. back $7 billion plus interest, as I understand it, including the latest payment of nearly $5 billion. So they say they paid us back.

Not quite: That still leaves $43 billion.

http://www.forbes.com/2010/04/21/general-motors-debt-business-autos-gm.html

What they HAVE paid back they did with TARP bailout funds:

http://www.consumerismcommentary.com/2010/04/27/gm-used-bailout-funds-repay-loan/















 
mancosmomma

Asked by mancosmomma at 3:32 PM on Apr. 27, 2010 in Politics & Current Events

Level 19 (7,315 Credits)
This question is closed.
Answers (10)
  • Well, it's so obvious. They believe it because the talking box in their living room told them so.

    QuinnMae

    Answer by QuinnMae at 3:33 PM on Apr. 27, 2010

  • mancosmomma

    Answer by mancosmomma at 3:33 PM on Apr. 27, 2010

  • I haven't read the links, but didn't GM just pay using a different account making it look like they paid when really they didn't? ah, nevermind, I really don't know, it's just something my DH said. lol
    Anonymous

    Answer by Anonymous at 3:37 PM on Apr. 27, 2010

  • LOL, QuinnMae!

    For those who need a simple explanation of the math, it goes like this:

    Use the cash advance check from VISA to pay off MASTERCARD, and announce your debt has been paid. Except all you have really done is transfer the balance.
    mancosmomma

    Answer by mancosmomma at 3:38 PM on Apr. 27, 2010

  • GM can say they paid us back because of the $50 billion in total support, only $7 billion was counted as a loan and the rest was traded for equity in the company that emerged from bankruptcy.


    That's how the business world works, and Wall Street especially. What's the problem with capitalism?

    Anonymous

    Answer by Anonymous at 3:46 PM on Apr. 27, 2010

  • confused   LOL, isn't that how EVERYONE  pays their bills???

    29again

    Answer by 29again at 3:49 PM on Apr. 27, 2010

  • Government Motors is still in financial trouble.  UAW is suing them.  Who do you think will pay UAW off?  Clue:  It won't be GM !!!!


    UAW Sues GM Over Retiree Health Care


    http://www.manufacturing.net/News-UAW-Sues-GM-Over-Retiree-Health-Care-040710.aspx

    Anonymous

    Answer by Anonymous at 4:00 PM on Apr. 27, 2010

  • Banking with the Federal Government is like staying at the Hotel California.
    You can check out any time you like, but you can NEVER LEAVE.
    jewjewbee

    Answer by jewjewbee at 4:05 PM on Apr. 27, 2010

  • Yeah, well some who don't watch FOX never heard that part. Those liberal stations are making a big deal about them paying it off too. LOLOL
    itsmesteph11

    Answer by itsmesteph11 at 4:55 PM on Apr. 27, 2010

  • Because the GM (government motors) said they did. They just didn't mention they used TARP funds. So, they used tax payers money (our money) to pay their bills and then used more tax payer money (our money) to pay us back. This means they never actually used their own money to pay any bill or make a payment. Unless you consider Uncle Sam owns 51% of GM (hence the new name - government motors) to pay back Uncle Sam. It becomes very confusing.
    jesse123456

    Answer by jesse123456 at 7:14 PM on Apr. 27, 2010

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