My suggestion to them was to shake the trees in the neighborhood for folks who have substantial cash reserves that are sitting in T-Bills and encourage them to move their investments into substantially higher yielding FDIC insured CD’s with a CDARS participating lending institution.

Wouldn’t it be interesting if we could get the extremely well connected Promontory Interfinancial Network, LLC Founders to encourage the Feds to encourage investors to place deposit money with community banks, substantially increase the investors’ yields without incurring any additional risks vs. treasuries, and break the liquidity crisis.

The CDARS vehicle could be a intermediate vehicle that the Fed could use instead of becoming the “lender of last resort” (acting as the counterparty on each inter-bank transaction). In my opinion, it is the community banks that are going to help rectify our economy, not the Wall Street firms or money center banks.

Presidential Implications

It could be an arrow in the quiver of whichever Presidential Candidate they support.

Patriotic Duty

I think it is our patriotic duty to try and save our economy. I am trying to do my part.