Government debt consolidation loan

The title can be somewhat misleading , one may think that it is about borrowing from the Government, but no not this time, what it means is that even the Government needs a helping hand with the national debt.

My fellow Americans, we have just taken the first step toward regaining control of our finances," said President Bush at a press conference. "Thanks to a joint arrangement between the Treasury Department, the Federal Reserve, and E-Z Debt Services of Baltimore, we are finally on our way to freedom from debt."

The government first became aware of E-Z Debt Services on July 10, when Sen. Max Baucus (D-MT) happened to see a commercial for the company while watching late-night television. Two days later, President Bush saw the same ad during a 3 a.m. M*A*S*H rerun.

According to White House press secretary Ari Fleischer, Bush was sitting at his desk clutching a fistful of past-due notices when he saw the ad.

The National Debt is the total amount of money that the US Government owes. Every year that the government spends more than it collects (from taxes, fines, fees, customs duties, property sales, and so on) it runs up a defecit. Each year's defecit adds to the total debt. Last year the Federal defecit totaled nearly $160 billion.
In addition to the yearly defecit, the government must pay interest on the money it has borrowed. For example, to spend that extra $160 billion last year, the government had to borrow $160 billion. The government does most of its borrowing in the form of Tresury Bills and Savings Bonds. Each year the government must pay interest on these outstanding bonds, further adding to the national debt. Interest payments alone consume 23% of the yearly Federal Budget.

Has it grown over time?

In 1791 the national debt was under a hundred million dollars. Today, national debt increases by the same amount EVERY HOUR!

Looking at the debt clock – it seems that at time the national debt decreases.

This is just an illusion. On average, national debt is always on the increase despite day to day fluctuations. Long term averages indicate that it just gets higher and higher.Since 1941, when Congress first began setting a statutory limit on the total debt permitted, Congress has voted more than 80 times to increase the limit, extend the duration of temporary increases, or change the definition of “debt” subject to the limit. In the last 25 years, the limit was raised 28 times, according to The Washington Times, which has been monitoring the rising debt load in recent years.

SITEMAP HOMEPAGE CONTACT

Shield credit, a credit advisor foundation program

Ginsberg,Gingras, bankruptcy trustee

Raymond Chabot Inc. Financial counsellor

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