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Thu Nov 15, 2012, 11:09 AM

Rolling Jubilee: Buying Up Distressed Debt, Occupy Offshoot Bails Out the People, Not the Banks

watch, listen: http://www.democracynow.org/2012/11/15/rolling_jubilee_buying_up_distressed_debt

An offshoot of Occupy Wall Street has launched a new movement called "Rolling Jubilee" to buy distressed debt from financial firms, often for pennies on the dollar, and then canceling it so that borrowers do not have to repay. The people who incurred the debt in the first place then get a certified letter informing them they are off the hook. Typically, financial institutions sell debt for pennies on the dollar to third parties who either try to collect on it or bundle it up for resale. However, the Rolling Jubilee activists say they are buying up the debt in order to "liberate debtors at random through a campaign of mutual support, good will, and collective refusal." Tonight, Rolling Jubilee is holding a sold-out benefit concert in New York City to continue its anti-debt fundraising. The group says it has already raised $129,000 through online donations, which is enough to buy approximately $2.5 million worth of defaulted loans, due to their steep markdowns. We’re joined by Pamela Brown, a Ph.D. student in sociology at the New School and one of the organizers of the Rolling Jubilee. She also is participating in the Occupy Sandy efforts to organize local relief efforts to people hit hardest by Superstorm Sandy. (Transcript to come. Check back soon.)


Guest:
Pamela Brown, Ph.D. student in sociology at the New School and one of the organizers of Strike Debt, which recently launched Rolling Jubilee.

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Reply Rolling Jubilee: Buying Up Distressed Debt, Occupy Offshoot Bails Out the People, Not the Banks (Original post)
G_j Nov 2012 OP
Blue Meany Nov 2012 #1
Vox Moi Nov 2012 #2
Coyotl Nov 2012 #3
Vox Moi Nov 2012 #4

Response to G_j (Original post)

Thu Nov 15, 2012, 11:17 AM

1. I kind of liked the way it was done in the Depression...

When a bank auctioned off a farm, all the farmer's neighbors showed up to make sure no dared to bid on it. Then one of them gave a lowball bid, bought it, and returned it to the farmer.

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Response to G_j (Original post)

Thu Nov 15, 2012, 11:45 AM

2. I want to like this idea very much but ...

I haven't yet found answers to these questions:

What types of debt are going to be targeted? (not student loans ... they are guaranteed)
How can contributions be targeted to the debt we intend to target? (what debt instruments will be purchased)?
How might banks and lenders respond to a new market influence?

Unintended consequences department...
In the Democracy Now tape there was the story about people buying children out of slavery, which increased the demand for child slaves, which increased the supply of child slaves. Apocryphal but pertinent in a 'free-market' society.

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Response to G_j (Original post)

Thu Nov 15, 2012, 11:46 AM

3. Who do the donations go to?

Name of person(s) who are behind the organization name?

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Response to Coyotl (Reply #3)

Thu Nov 15, 2012, 12:00 PM

4. The Jubilee people say that buying debt is not that specific n/t

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