Partying Like It's 1999

Banks and credit unions have a rainy day fund known as the loan loss reserve account. In short, there is a formula that is to be followed where a portion of current income is set aside to cover the potential losses anticipated from loans that are "going South". The Fed managed to create an "Alice in Wonderland" landscape where up is down, North is South, right is wrong and wrong is right. It's difficult predict what will happen in the future when the Fed is monkeying around with fundamentals of today. Giving the Fed these kinds of powers is to invite a clusterfuck. Think of giving a chimpanzee a loaded handgun or allowing a retarded child to man the controls of a landing 747 jumbo jet loaded with people. Anyway, banks and credit unions have been depleting their loan loss reserve accounts as people who should have defaulted two years ago on stupid loans did not - Fed and government intervention propped up the zombies for 2 years and now, the Fed is running out of juice. Fucking around with the price of credit has consequences when you have an economy that runs on credit.

Make no mistake - the Fed Governors (like crazy eyed Neel Kashkari) actually believe their bullshit and they'd like you to believe it too. Don't worry about the rising cost of everyday items that you need to live, lemming. You're all gonna be nigga rich with stocks to the moon and a gold mine for a house and you'll accomplish all of this prosperity by sitting on your ass and being a great fucking American. My old employer, the fabulous Together Credit Union (who the fuck came up with that name during the re-branding?) has depleted their loan loss allowance account year over year as follows: Loan Loss Allowance Q3 2021 vs Q3 2020 $11.4MM $14.3MM $3 million to party on and make acquisitions with in the space of a year. Good luck next year assclowns as the court cases pile up.