Thursday, April 22, 2010

Foolish GM Commercials Mislead American People

I'm sure by now you've seen the commercials the CEO of GM is featured in stating how they've paid back the American people and done it ahead of schedule - don't believe the hype. GM has not paid you back, in fact the money they used to pay back the loan was the money we lent them. We bailed out GM to the tune of $50 billion and another $10 billion from Canada. Much of this was in the form of stock so that they didn't have to pay interest. Read the whole article about the structure at Forbes by clicking the link above.

This is the most misleading commercial I've seen in a long time as it tries to get you to believe that everything is well again and that GM has repaid their debt to society when nothing could be further from the truth.

This is the stuff that really annoys me - don't be fooled, you have not be made whole on GM and its doubtful you ever will.

Scott Dauenhauer CFP, MSFP, AIF