Household HSBC Watch

August 29, 2004
By: Household - HSBC Watch

In figures released today, just prior to the Republican National Convention, Bush’s approval rating on the war on terror was just above 50%. On handling the economy, however, Bush has a 30% approval rating. This comes on the heels of Alan Greenspan’s warning about the future of Social Security and Medicare.

The ability to create and keep jobs, and the ability to create a climate for future growth concerns many Americans. While it is not the purpose of Household Watch to politicize America’s fight against predatory lending, one must look at recent inroads by banking giant HSBC and the relative impact on the United States economy.

Bush did not comment on a move by the Office of the Comptroller of the Currency to override state and local laws and bank charters. Such a move by the OCC would undermine and reverse great strides in fighting predatory lending at the state and local level. HSBC sought shelter from the OCC and applied for a national bank charter.

As soon as the charter was approved HSBC started making changes. Household International had such a bad reputation with William F. Aldinger as the CEO that HSBC will completely absorb the Household name. When the name goes away the business model will remain largely in tact, and Aldinger will remain as an officer of HSBC.

As George Bush receives a 30% approval rating on his handling of the economy, Senator Hillary Rodham Clinton said “It would be a disaster if he is re-elected.” One doesn’t need to look very far to see how the average American was affected by Household International, Bank of America, Enron, Global Crossing, Tyco and others.

Yes, Bush did make CEO’s responsible. Yes, CEO’s did restate earnings when they became responsible. In fact Household under Aldinger restated earnings for the entire eight years Aldinger had been with the company. The bottom line is that Bush hasn’t done enough, jobs are still going to India, work is going to China, and HSBC is growing under the safety of the OCC’s John Hawke while incorporating Household International’s business model and exporting that model overseas.

America’s next president, whomever it may be, must understand and comprehend that more and more Americans were touched by the Enron’s and Household Internationals. These average Americans and worried about the high cost of gasoline, heating oil and propane, and the looming spectre of Social Security gone wrong.

When a family loses the equity in their home, the security of a decent FICO score, and they take a hit on their 401-K from companies like Enron, it simply scares the daylights out of them to hear Greenspan tell the truth about Social Security. Greenspan, however, only stated what we’ve known for years. And the United States deficit keeps getting bigger and bigger every day.