Bernanke says spurring credit key to rebound

[IScreamSundays]

Source: Yahoo

WASHINGTON (Reuters) – Boosting credit to struggling small businesses is vital to keep a tepid U.S. recovery on track but wary banks can't be forced to lend from their bountiful reserves, Federal Reserve officials said on Monday.

Fed Chairman Ben Bernanke underlined the necessity for companies -- many still working their way back to health from the deep recession -- to be able to get loans when they need them to expand and to hire.

"To support the recovery, we need to find ways to ensure that credit-worthy borrowers have access to needed loans," he told a Fed-sponsored conference on small business financing.

The conference caps more than 40 information-gathering meetings the central bank arranged and held across the country to try to find ways to overcome obstacles to lending.

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Read more: http://news.yahoo.com/s/nm/us_usa_fed_bernanke

[DJ13]

1. If he's really concerned, the Fed charter allows him to lend directly

Bypassing the lazy banks might light a fire under their asses as they see the large numbers of loans they wouldnt be making profits off of.

[RUMMYisFROSTED]

3. gmta

↓

[RUMMYisFROSTED]

2. Psst!

Skip the banks.

I'm sure small businesses would love the near 0 interest loans that the banks get. :think:

[Bonhomme Richard]

4. The problem is that the definition of "credit worthy" has changed....

dramatically. Today it means credit if we have zero risk.

[Dr.Phool]

5. Pssst. Small businesses don't want easier credit.

They want customers. People who come in and spend money to keep them in business.

[Bonhomme Richard]

7. +1 n/t

[BR_Parkway]

6. Meanwhile companies are stockpiling cash and waiting for customers

For way too many of us, the last thing we need is any more debt.

[CrownPrinceBandar]

8. What crap!..........

Small businesses need customers, customers need money in which to solicit said small businesses. Once again these guys miss the point and want to prop up the supply-side, when its the lack of demand that is the problem. Where the hell did these guys go to school?