Speaking Out Against TARP by Kristy Sinsara

The Troubled Asset Relief Program (TARP) was established by the United States government in response to the subprime market collapse the rocked the global economy earlier this decade. “The point of TARP”, says Kristy Sinsara who heads the Consumer Advocacy Group, “was to ’stimulate the economy’ by giving money to ‘big businesses’.” Ostensibly, it was hoped that by bolstering the failing financial institutions, the benefits would trickle down to distress homeowners.

However, groups like the Consumer Advocacy Group claim that TARP has been anything but successful in achieving its aim. “We believe,” says Kristy Sinsara, “that the lenders have proven that they can NOT be trusted with the Troubled Asset Relief Funds set aside by the Obama Administration.”

The Consumer Advocacy Group has actively voiced its disapproval of TARP, both publicly and on Capitol Hill. Kristy Sinsara believes that lenders such as Bank of America have not used the funds provided by TARP for their original purposes, nor has the government enforced the guideline it established for TARP recepients. “The lenders (Bank of America especially) have proven that they will only use the money for their own personal gain and have absolutely no individual homeowners’ needs in mind. These lenders have essentially been given a blank check by our government that we as tax payers must pay for,” states Kristy Sinsara.

The Consumer Advocacy Group’s claims stem from the fact that the many of the financial institutions who have receive Troubled Asset Relief Program funding, such as Bank of America, have not used this money for the stated purpose of keeping lines of credit open and extending relief to troubled homeowners suffering under the weight of sub-prime loans. Instead, claims Kristy Sinsara, these financiers have turned around to snatch up other floundering financial entities such as Countrywide and Meryl Lynch.

An even more startling revelation lies in the fact that many of the heads of these floundering institutions are being provided with “golden parachutes” in the form of high dollar exit bonuses. Kristy Sinsara and the Consumer Advocacy Group are very vocal about their disapproval of the fact that those responsible for the economic crisis are being bailed out, while the true victims, the homeowners, are left to reap the whirlwind.

“There are specific guidelines that must be met by each participant of the TARP program,” states Kristy Sinsara, “and these guidelines are NOT being adhered to… Bank of America used MILLIONS of dollars from government funding (that WE are all paying for) and gave it directly to the ‘chosen few’ they selected to receive ‘bailout’ funds. And now, if you as a homeowner call them for help, they will tell you why they ‘can’t’ help you.”

It is because of this seeming misuse of TARP funding that Kristy Sinsara’s Consumer Advocacy Group and other similar organizations are beginning to speak out. These homeowners advocates are lobbying in Washington in the hope of changing the Troubled Asset Relief Program so that relief is felt by those who truly need it most, the distressed homeowners.

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