Witness at Bank of America Shareholders Meeting

On May 11, 2011, North Carolina United Power (NCUP) gathered with some allies to challenge Bank of America to clean up its act concerning mortgage modifications and foreclosures.  We brought banners and posters, including a banner displaying the text of Micah 2:1-2.

Associated Press photo

Alas for those who devise wickedness
  and evil deeds on their beds!
When the morning dawns, they perform it,
  because it is in their power.
They covet fields, and seize them;
  houses, and take them away;
they oppress householder and house,
  people and their inheritance.

Rev. Clyde Ellis came from Virginians Organized for Interfaith Community Engagement (VOICE) came to speak about the disaster of foreclosures in Prince William County, VA.   Peter Skillern of Community Reinvestment Association-NC (CRA-NC) and Josh Zinner of Neighborhood Economic Development Advocacy Project (NEDAP) in New York City addressed the slow pace of improvement made by Bank of America in dealing with the enormous number of troubled mortgages they service.

Iraq Veteran Blackmon of the Harry Veterans Community Outreach Service in Winston-Salem addressed B of A's work with military families.  Rev. Spencer Bradford of Durham Mennonite Church spoke about bankers and homeowners sharing the same neighborhood, in the spirit of rejecting the utilitarian vision condemned by the Prophet Micah.  Rev. Dr. Greg Moss of HELP, Rev. Dr. Carlton Eversley of CHANGE, and many more from Durham CAN, Davidson County HOPE, Orange County Justice United, and the NC Latino Coalition, gave comments or stood to represent the continued efforts to bring change and justice to the foreclosure crisis.

The big news of the day came from information shared with us by the County Clerk of Court of Guilford County.  In our effort to slow down the railroading of foreclosures perpetrated through "robosigning" and other fraudulent practices of a hasty and careless banking industry, we have been meeting with County Clerks of Court in NC to promote the use of best practices in foreclosure procedings, especially in the determination of who holds the original promissory note on the mortgage.  We found that in Guilford County alone, the Clerk of Court had identified over 4500 fraudulent or forged documents presented to support foreclosures.  That is one county.  We had specific numbers for each bank, as well as the names of robosigners whom banks had employed.  We are calling for a county by county audit of foreclosure documents in NC to get to the bottom of this illegal practice.

Associate Press photo

The following is the speech I gave to open the witness outside the shareholders meeting.

Good morning.  I am Dr. Mike Broadway of Shaw University Divinity School and Mt. Level Missionary Baptist Church in Durham.

When theological educators in North and South Carolina issued a statement on this economic crisis, we identified key convictions about justice and the economy from our tradition of faith.  Among those convictions was that all people should share in the gifts of God's creation.  Another was that no society can allow a permanent debtor class to emerge, a kind of debt-sharecropping.  A third, among many more, was that the risks and benefits of the economy should be shared by all participants, not dumping all risks on the weak and paying bonuses to the elite.  It is with these kinds of convictions that we stand here today to address foreclosure fraud and mortgage modifications.

Some people say theologians and preachers should stay out of this business.  That's nothing new.  Long ago in the days of the Prophet Micah, the so-called leaders of the people  did not want to hear what he was sent to say.  The economy was in turmoil and people were suffering mightily.  But the leaders preferred a preacher who would gloss over it all and say, "Live it up!  Go have another drink!  Life is good!"  They wanted happy talk while people were losing their homes and livelihoods through fraud and injustice (Micah 2:6-7, 11; Isa. 1:15).

We don't want to be those kinds of preachers.  We don't want to be churches of the sort that Fannie Lou Hamer came to despise during her civil rights work.  She saw so many churches as hypocrites gathering "for the sake of paying the minister's way to hell and theirs, too."  No, we do not want to join the misleaders of the people.

Both the Prophets Micah and Isaiah challenged the financial and political elites of their day for being misleaders.  To the financial leaders they said, "you mislead and confuse the people," and "the spoils of the poor are in your houses" (Micah 2:1-2, 8-9; Isa. 3:12-14).  Back in those days, and now in our time, the financial elite manipulated the structures of the economy "because it is in their power" (Micah 2:1).  They preyed on the hard-earned livings of the working people.

The prophets said that the "add house to house" and "field to field," leaving "many houses desolate" (Isa. 5:8-9; Micah 2:2, 9).  In ancient Israel they foreclosed on the working class in massive numbers, transferring wealth from the producers to the predators, just as is happening in our day.  They turned from leadership to predation.  The prophets say the obvious:  the poor are losing their homes and livelihoods and widows and orphans are abandoned.

Why can this happen?  It seems patently unjust that some can ruin others simply "because it is in their power."  The prophets go on to say that the foreclosures and mass economic turmoil happen because political leaders "write oppressive statutes" and "turn aside the needy from justice" (Isa. 10:1-2).  Just yesterday, ten Attorneys General of the states met in Atlanta to oppose and try to derail a fair resolution of the mortgage crisis.  Recently, the Comptroller of the Currency suggested that the banks need not bear the weight of setting things right in this foreclosure crisis.  Then who will bear it?  If it is not a shared burden, then average homeowners will bear this burden that is too great for us.  We don't need this kind of misleader deciding our futures.

We think that Bank of America wants to be a leader for the average consumer.  We think that Bank of American can be a leader in finding a resolution for the foreclosure crisis that will be good for all parties.  That is why we are here today.  We are calling for leadership toward a just, streamlined process for mortgage modification, foreclosures as a last resort, and a solution that makes the Bank more profitable while keeping people in their homes.

It may seem that we are just a few average, unimportant people standing here today calling out for justice in the tradition of Micah and Isaiah.  But to quote Marian Wright Edelman, "You just need to be a flea against injustice.  Enough committed fleas biting strategically can make even the biggest dog uncomfortable and transform even the biggest nation."  And enough fleas can transform the biggest bank, too.

Theology and Economy Update

For those of you who check in here now and then, you probably know that in 2009 a group of theological professors in North Carolina and South Carolina distributed a working paper, "Theological Reflection on the Economy."  It was an early step in a series of actions and campaigns through which faith communities have organized around economic justice in the current economic crisis.  Since that time, I have occasionally communicated with the group of professors about active campaigns, particularly the "10% Is Enough" work on usury pertaining to credit cards and other consumer interest.  This week, I sent a note to update them on the range of actions and campaigns in which North Carolina United Power has continued to organize in the past year and a half.  Here is an excerpt of the note I sent them.

Hey, folks,

A year and a half ago I was sending you lots of emails as we started work on a major organizing campaign dealing with economic justice issues.  As theological scholars and servants of the church, we recognize our responsibilities to follow Jesus in the task of serving the poor, offering ministry of relief, building ecclesial structures to reshape economic life in our neighborhoods, and seeking justice in the face of economic powers.  Thus, the theological reflection leading to the "Theological Reflection on the Economy" of 2009 was an exercise of our vocation which helped to provide grounding for faith-based people's movements which have gone many directions.  The document has been studied in churches, in minister's conferences, in seminary classes, and far beyond North and South Carolina. 

The paths of discipleship continue to open before us even now.  Let me highlight some of the work linked to our efforts of 2009.

1.  The "10% Is Enough" campaign in the Eastern US, London, and Berlin, has continued to bear fruit.  We did not convince banks to voluntarily cap credit card interest rates, nor did with convince Congress to cap consumer interest rates.  But we have built relationships with bank executives which are paying off in continued access and influence.  Moreover, leaders of the "10% Is Enough" campaign have met with Dr. Elizabeth Warren to help shape the Consumer Financial Protection Agency.  Caps on interest rates continue to be a lively topic, in part because of the strong work of MetroIAF, of which we have been a part.

2.  The "6% Is Enough" campaign to protect military families from predatory credit practices and foreclosure has been an overwhelming success.  This is a NC United Power campaign, and we have worked with Wachovia/Wells Fargo and Bank of America.  B of A held ongoing conversations with us for over a year.  Last summer they agreed to everything we were asking for, extending benefits beyond the legal requirements for nine months of protection from rising interest rates.  For several months, they were reluctant to admit publicly that they had changed their policies in response to negotiations with NCUP.  This month, in a surprise turn, CEO Brian Moynihan publicly thanked NCUP and Gerald Taylor for our work in this crucial area.  Our fellow signatory, Dan Rhodes, was present to meet personally with Moynihan, the first time he has met personally with members of our organization.

3.   The effort to bring justice to the foreclosure crisis has taken off in recent months, in part because of the attention that NC Attorney General Roy Cooper has given to foreclosure fraud as President of the National Association of Attorneys General.  For this work, NCUP (also going by the name IAF-SouthEast) has made partnership with People Improving Communities through Organizing (PICO), National People's Action (NPA-US), Alliance for a Just Society, and the Alliance of Californians for Community Empowerment (ACCE), all faith-based community organizing groups, stretching our organizing from the west coast to the east coast, from the Rocky Mountains to the midwest to the south.  We have met with key leaders, including Iowa AG Tom Miller and NC AG Roy Cooper, all the while keeping our efforts alive with Bank of America.  One summary of our proposals, "The Homeowner's Bottom Line," has gained significant interest, and most of its proposals remain on the table in the nationwide AG's investigation and potential settlement with the major banks to improve the foreclosure process.

4.  In conversation with a major funding organization (no funding yet) for theological education research, I have piloted a course at Shaw University Divinity School, "Pastoral Readiness for Economic Crises."  We covered financial literacy and financial freedom for pastors as well as a form of Christian formation for churches and their communities.  We looked at a wide range of theological sources on money, possessions, economics, and consumption from the earliest churches down to our times.  We looked at tools for churches to evaluate their relationships with banks that may or may not be serving poor communities.  We looked at models of community development, such as the Christian Community Development Association model of ecclesial politics of neighbor love.  Finally, we looked at faith-based community organizing.  With this trial run under our belt, I am hoping to work with some of you as partners in developing a proposal for adapting this sort of clergy training to other seminaries and to continuing education programs for current pastors.

5.  The predatory practices of payday lenders and car-title lenders will not die without a fight.  From Texas to North Carolina, from Mississippi to New Hampshire, strong lobbying efforts to open the door to astronomical interest rates on small dollar loans are alive and well in the state legislatures.  I've testified before legislative committees in Texas, mentioning you all and our work.  Just this past week, a bill was introduced in the NC legislature to reopen the door to usurious rates.  When there is the chance of ripping people off legally, there will always be people trying to do it.  Contact your legislator right away to stop the progress of HB 810.  South Carolina, having passed important reforms in 2009, seems not to have any pending legislation at this time.

On two matters I am seeking your response to moving forward with this work. 

First, . . . we are considering a clergy witness [at an upcoming event], with particular attention to dealing justly in the foreclosure crisis. 

The text of Micah 2:1-11 is directly relevant to this matter (not to ignore Isaiah 5:8-17).  The injustice of Samaria and Judah included coveting and seizing houses, ruining people financially (v2).  The powerful put people out of their homes (v9).  All the while they continue to practice the trappings of faith.  Predictably, they demand that anyone who might preach judgment against their greed should stop saying that stuff (v6).  The prophet says they only want a preacher who says, "Go on and get drunk.  Live it up!" (v11), while they "rise up against my people as an enemy" (v8). 

We hope we might gather 100 clergy and seminarians to speak a word of witness about the injustices of foreclosing on people whose financial security was destroyed by the greed, risks, and fraud of bankers, brokers, and insurers. . . . Details of when and where to meet will be forthcoming, depending on whether we believe we can gather an appropriate-sized group for witness.

Second, I will be trying to convene a meeting of some of you professors in late May.  If you would be interested in meeting for three or four hours to evaluate the course I put together and to brainstorm about expanding clergy training for economic life, let me know. . . .

For more information, see

News coverage of recent NCUP action:  here and here

Foreclosure Justice:  Homeowner's Bottom Line 

Broad Campaign for Financial Reforms:  Showdown in America

Against Usury:  10% Is Enough 

Military Families:  6% Is Enough 

Periodic updates on "earth as it is in heaven"

Big Banks See Fines and Penalties Coming

Bloomberg reported on Saturday that Bank of America and Wells Fargo/Wachovia, the biggest mortgage lenders, are anticipating significant fines, penalties, and legal costs to come from the many current investigations into questionable mortgage lending and foreclosure practices.  This news comes as the "Homeowner's Bottom Line" campaign has been meeting with states' attorneys general across the country to press for justice in the foreclosure crisis.

Of course, the devil is in the details.  What will and will not be addressed in the results of the foreclosure investigation has yet to be seen.  However, these big banks see enough significant impact coming that they felt the need to inform the public in a recent report filed with the Securities and Exchange Commission.

Foreclosure Fraud 3: Clear and Unequivocal Communication

When a bank working on a possible mortgage modification tells a borrower to stop making payments in order to allow the modification to proceed, usually in another office of the bank a red flag flies up to say that the foreclosure clock must start ticking.  One mouth says stop making payments and become delinquent in order to get paperwork moving.  Another says don't stop payments unless you want another set of paperwork to start moving.  Case after case in the past year has found homeowners receiving notification of a modification offer almost simultaneously with notification of a foreclosure sale.  By now you are all thinking about an old saying having to do with a left hand and a right hand.

This kind of carelessness and lack of concern for customers has characterized the current foreclosure crisis.  Admittedly, banks do not traditionally have enough staff to handle the current volume of potential loan modifications or the current volume of potential foreclosures.  In trying to ramp up while also keeping staffing numbers down, the result has been libraries of lost paperwork, constant restarting of the process, and a different answer from the servicer every time a homeowner makes contact.  Getting the banks to clean this up would seem to be in their interest, but when banks are as large as Wells Fargo and Bank of America, there is also a kind of internal struggle over which departments get to do what they should and which ones just do what they can.  We think that it is more than reasonable for homeowners to expect better.  What follows is a second part of what we are asking the Attorneys General to do.

Problem: Servicers proceed with the foreclosure process at the same time as they are conducting a loss mitigation process. This leads to borrower confusion and further complicates the process and the communication between borrower and servicer. It also leads to unjust foreclosures before due diligence is completed in the loan modification process.

Solution:

Mandatory and Standard Loan Modification Review

Foreclosures should not be initiated until the servicer does a complete review of a borrower's file. If the borrower is already in foreclosure when he or she requests a review, the foreclosure process (and not just the final sale) must be suspended until the review is completed.

a. This review must include the complete payment history; the contact log; and any other relevant information to determine whether the borrower is actually in arrears.

b. This review must include a determination that all loss mitigation requirements (as set out by HAMP, investors, FHA, GSE's, etc.) have been met, and the servicer must disclose to the customer all inputs and calculations done to establish qualification for a loan modification (see NPV transparency above).

c. Servicers must develop a protocol for evaluating Pooling and Servicing Agreements for investor restrictions and must seek a waiver if necessary.

Written Confirmation of Review to Borrower

If a borrower is not offered a loan modification, the servicer must provide a sworn affidavit to the borrower, disclosing the reasons for denial, including

a. any calculations done to determine loan modification eligibility; and

b. if the denial is due to investor-imposed restrictions, the specific language in the PSA prohibiting the modification, instructions on how the borrower can view the full PSA, and a written log of the servicer's efforts to obtain a waiver of this restriction.

Borrower Appeals Process

The denial letter must provide the borrower with an opportunity to appeal this determination to a neutral party. Foreclosure can only be resumed after written denial has been provided and time for an appeal has passed. If an appeal is pending, no foreclosure can be resumed.

No Legal Foreclosure Without Proof of Due Diligence

Servicers should be required to file a certification of loan modification procedures as a precondition to a foreclosure sale. In the case of a non-judicial foreclosure, the government official responsible for recording deeds and other transfers of property in the jurisdiction in which the property is located shall not permit the recordation of a deed transferring title after a foreclosure without certifying that the party conducting the sale has demonstrated that the requirements of this section have been met. A sale of property in violation of this subsection is void.

Consistent Communication with Consistent Staff

Upon contacting the servicer, the borrower must be assigned a case manager that will remain with that borrower throughout their loss mitigation experience. This case manager will have decision-making authority and access to the highest levels of management in the company. It is permissible for additional line staff to assist the case manager, as long as the case manager is always accessible to the borrower.  If a servicer is temporarily incapable of providing this adequate staffing level, the servicer must refer to a licensed special servicer until adequate staffing levels are reached.

The next post will deal with the imbalance of power that leads banks to multiply additional fees and get by with ignoring the law.

Banks Sucker Punch Military Families

As part of the work on resetting the economy, North Carolina United Power and the IAF-SE have been pressing for banks to obey the law in dealing with loans to military personnel.  The law, revised in the past decade, says that when soldiers are on active duty, all of their loans must be capped at 6%, and any existing interest above that level must be forgiven.  Moreover, when they are on active duty and three months beyond, a bank cannot start foreclosure proceedings or other debt recovery strong-arm tactics. 

We took up this cause because we were hearing many stories about how banks were not following these laws.  And that does not even take into account all of the predatory lenders, loan sharks, and such who open for business just outside the gates of military bases.

We made good progress in these negotiations with big banks and with NC government officials.  Bank of America was especially responsive, offering unilaterally to extend the grace period law demands from three months to nine months.  By doing so, they give room for the new shape of military deployment which relies heavily on National Guard and Reserves and which has led to numerous sequential tours of duty.  The law did not anticipate this change, and it has hurt many military personnel whose cases have not been handled correctly.

In case anyone wondered whether this is a real problem, a recent news article points out that at least one major bank, has admitted to breaking the law in dealing with military families.  J.P. Morgan Chase was foreclosing on military families while they were bearing the weight of active deployment.  The article names only a few cases.  I suspect that a committed investigative reporter would find many, many more at all major banks, in regional and local banks, and an explosion of cases among payday lenders, car title lenders, and other criminally conceived businesses trying to fly under the radar.

Let me again acknowledge Bank of America for its promises to improve services and go beyond the letter of the law in working with military families.  We have had some hopeful conversations with Wachovia-Wells Fargo who has had experience operating a specialized military bank out of San Antonio, TX, but they have not made any commitments in response to our requests.  Obviously, J.P. Morgan Chase has had to come clean on a few cases.  I hope some other groups working toward economic justice will raise these questions locally to stop the sucker punching on these families who already face stress and problems beyond what anyone should have to face.

Open Hearts Mean Open Hands, Part 3

This the last part of a sermon continued from the two previous posts.

Deuteronomy 15:1-11
Acts 4:31-35
Durham CAN and other organizations like ours, in Charlotte, Winston-Salem, Boston, Washington, D. C., New York City, Atlanta, Chicago, and London, England, have decided that it is time to take a stand against usury. The campaign, launched simultaneously in many cities on July 22, is called “10% Is Enough.” We are calling on the CEOs of Bank of America, Wells Fargo, Citibank, Mechanics and Farmers, SunTrust, and other banks to put a cap on consumer interest rates at 10%. We are also calling on Congress to pass a usury law and restore a reasonable cap on consumer interest. Professors like Mt. Level ministers Dr. Turner, Dr. Jennings, Dr. Carter, and I all endorsed a theological statement on the economy, along with professors from nine divinity schools and seminaries in North Carolina and South Carolina. This statement has been sent to bank CEOs and to pastors as part of this campaign. We want the bankers to realize this message is deeply rooted in our tradition. And we Protestant Christian professors do not stand alone.

The social teachings of the Catholic Church have a long history of making a clear stand for economic justice, for example the encyclical of Leo XIII, Rerum Novarum, explicitly implicates usury in what he observed as a growing oppression and exploitation, saying working people “have been surrendered, isolated and helpless, to the hardheartedness of employers and the greed of unchecked competition. The mischief has been increased by rapacious usury, which, although more than once condemned by the Church, is nevertheless, under a different guise, but with like injustice, still practiced by covetous and grasping men. To this must be added that the hiring of labor and the conduct of trade are concentrated in the hands of comparatively few; so that a small number of very rich men have been able to lay upon the teeming masses of the laboring poor a yoke little better than that of slavery itself.” The Catechism of the Catholic Church says, “Those whose usurious and avaricious dealings lead to the hunger and death of their brethren in the human family indirectly commit homicide,” and directly quotes from Deuteronomy 15:11 to emphasize the many ways in which we are exhorted to “open wide our hands” to the poor.

Of course, when Christians draw heavily on texts from Deuteronomy or Amos or other texts from the Jewish Scriptures in our efforts to articulate a theology of economic life, we show our indebtedness to and sharing in the narrative of God’s calling of Israel. Over recent months, Jewish Rabbis in North Carolina have joined this conversation about the economy. In this week, the holiest season of the Jewish year, our brothers and sisters of the covenant are reflecting on their lives under the Rule of God, the Maker of heaven and earth. As the season of the new year—Rosh Hashanah has passed and Yom Kippur is coming—it is the time in which the Sabbath year or Jubilee year would be proclaimed. God’s rule over all of life is the concern of liturgy and prayer. Thus this season is linked with economic justice and the plight of the weak and marginalized. The story of God’s deliverance of Isaac when he was bound on the altar is a central text, and we can see in it the symbolic binding of the poor by oppressive economic systems of low wages, inescapable debt, and unattainable basic provisions. These High Holy Days are days of repentance and resolution. Repentance is a leaving behind, but also a taking up. Thus, in the economy it means leaving behind injustice and taking up the cause of those unjustly treated. It is taking up the calling of tikkun olam, to mend the world.

Islam continues in our day to practice an economic system which opposes usury, which in Arabic is called riba. Our Muslim brothers and sisters in North Carolina have also composed a document for reflection in their communities, revealing ways that the Qur’an teaches about justice in economic relations. Rather than loaning at interest, Islamic societies have developed creative ways to allow investment in which benefits and risks are shared by both borrower and lender. This kind of thinking about God’s creation as something shared by all people equally is deeply imbedded in Islamic teaching, and their witness to it reawakens truths in Christian teaching that have been overshadowed by modern economic ideas. To our shame, too many Christians have sold this common birthright for a mess of pottage in the empty promises of modern economics.

The faith communities do not always agree on everything, but we do agree on some things. One, above all, is that God is the ruler of all creation, and that we are responsible to God to live in right relationship with one another according to justice. Moreover, we all agree on the specific admonition that usury, the financial exploitation of the poor and weak, is wrong no matter when or how it is done, or what it is called.

But, why, you ask, does the church bother with such things as interest rates and health care access? Why don’t we just focus on saving souls? I’m glad you asked that, and probably most of you know the answer. We are concerned about economic justice and the health of all people because Jesus came to save whole people, whole communities, the whole of creation. This is not just some obscure ancient Jewish law about the economy that has become irrelevant in Christ. Jesus said he did not come to destroy the law but to fulfill it. He said he came to set at liberty the oppressed. He came to heal. He came to bring abundant life. He came that we might now live in the foretaste of the glory of eternal life.

The passage from Acts which we read helps us to know that this is what Jesus came to do. His earliest followers realized the connection between Deuteronomy 15 and Jesus’ preaching and atoning work. In words which quote from Deuteronomy 15:4, Acts 4:34 says, “There was not a needy person among them.” They saw themselves as living out the promise of God that when we share with one another we can all have what we need. Martin Luther, the great reformer, wrote a treatise against usury in which he said we ought “to be bound . . . to allow no one to suffer want or to beg.”

But again, you may ask, how is it that getting so concerned about economic justice can go together with Christian concern for saving souls? The answer is in understanding that God is a God of grace. God offered Israel a better way of life in Deuteronomy. It was a way of life that would allow them to take on the character of the God who delivered them from oppression, slavery, and perpetual poverty. If they would remember that whatever prosperity they have is the gift of the God who brought them out of Egypt, then they could understand that it is always grace that sustains them. And if God is gracious enough to allow us to prosper, then we ought to become like God and see that others also can prosper. As God has given us blessings, we ought to bless one another.

What a transformation grace can bring in a human being! What a transformation grace can bring to a community! God made us in the divine image, and when we deny our true character and nature by sins of greed, hatred, selfishness, and indifference, God is not satisfied to leave us there. So in the midst of a sinful world system, God comes to deliver us. God wants us to be free of the oppression of others and free of the oppression we impose on ourselves through our sins. God is a gracious God. God loves us too much to let us stew in our own juices. God is a gracious God. God wants us all to know the love that is possible in human community, the love God created us for. God is a gracious God. We are made to love one another. We are made to love one another. We are made to love one another, and in loving one another we are the image of God. In loving one another, God’s grace flows through us, and God’s glory shines forth from us. Let the glory of God shine forth through you. Let the love of God flow to the ones who are struggling with debt, without health care, who are losing their homes. Stand up as a witness of God’s grace in creation that usury is wrong and must be stopped.

Does anybody want to live in the image of God? Does anybody want to receive and give grace as a way of life?

Maybe you are one of the people being swept away in the tide of economic troubles. Powerful forces in the world are dragging you out into deeper waters, and you feel out of control. You aren’t sure what your destiny will be. The God of grace wants to deliver you. After the service, we will collect names and contact information for people who would like to get some guidance in dealing with their financial situations. Both Mount Level Missionary Baptist Church and the Durham County Extension Office will be offering financial training to help with budgeting and indebtedness, to help you work toward financial freedom. We want to facilitate this because we believe that the God of grace wants to deliver you.

Maybe you are struggling with temptations to be selfish and tightfisted. Maybe you are fighting feelings of looking down on people who are in financial difficulty and in need of help. God wants to restore you to your true loving nature. God wants to give you grace to grow into the true divine image, to be a beacon of God’s glory and a vessel of God’s grace.

Open your hearts to God and to one another now. Open your hands to the people in need whom God sends your way. Open hearts mean open hands. May the grace of God be with you all.

Bailout 10: Make Banks Accountable

Today's news reports that the Governor of Illinois has threatened to suspend state business with Bank of America. B of A is the bank which cut off credit to a window and door factory that has announced it will close, leading workers to sit in at the factory to demand the company pay them for accrued time.

Now the Governor of Illinois may in part be trying to distract attention from his other problems, such as being arrested on corruption charges today. However, it is about time leaders make this kind of decision to stand up to the banks which have become beneficiaries of one of the greatest wealth redistributions ever known. Public servants need to serve the public interest. Tax dollars are for the public interest. When tax dollars are provided to a private corporation in order to further the public interest in stabilizing the economy, then those private corporations must be held accountable.

That is why I wrote to my Representative, David Price, today to ask for increased oversight over banks and financial institutions who received "bailout" funds from the Department of the Treasury. The accountability was left too vague, and executives are retaining their expense accounts and euphemistically renamed "bonuses" while autoworkers are being demonized as overpaid for getting middle-class salaries, health care benefits, and retirement. I asked him to demand repayment from banks that refuse to make these funds available to support industry and jobs in the economy. If dramatic change can be demanded of GM, and I am all for that, then it can be demanded of Wells Fargo, Bank of America, Goldmon Sachs, J. P. Morgan Chase, Citigroup, and others.

Get rid of the $10 million Wells Fargo (see Bailout 9 post) severance package for one Wachovia executive and you can pay annual salary and benefits for over 100 of the better paid GM autoworkers who have mortgages to pay and families to support. Okay, let the Wachovia guy have the same amount as an autoworker. Bank of America's bailout money would be much better used if provided directly to struggling industrial producers.