We’re Not Sure What To Make Of ‘The People’s Bailout’
2:30 pm, November 9th | by Sarah Devlin
What if Americans could bail each other out in exactly the way the government bailed out the banks at the beginning of the 2008 financial crisis? What if we could take out of control credit card debt, student debt, and bad mortgages, and make them vanish? Does that sound crazy to you? It sounds a little crazy to us, and yet…
From How To Sharpen Pencils:
Like many folks, Occupy Wall Street has been some doing good work in the aftermath of Hurricane Sandy, helping people on the ground.
Now OWS is launching the ROLLING JUBILEE, a program that has been in development for months. OWS is going to start buying distressed debt (medical bills, student loans, etc.) in order to forgive it. As a test run, we spent $500, which bought $14,000 of distressed debt. We then ERASED THAT DEBT. (If you’re a debt broker, once you own someone’s debt you can do whatever you want with it — traditionally, you hound debtors to their grave trying to collect. We’re playing a different game. A MORE AWESOME GAME.)
This is a simple, powerful way to help folks in need — to free them from heavy debt loads so they can focus on being productive, happy and healthy. As you can see from our test run, the return on investment approaches 30:1. That’s a crazy bargain!
You can check out the website, which provides much of the same information (and also has an explanatory YouTube video, which you can see below).
Is this fair? Is this possible? I’m fascinated. What do you think?