December 13th, 2009
03:57 PM ET
8 years ago

'It's not all the president's fault,' Suze Orman says

Washington (CNN) – On the eve of a White House meeting where President Obama is expected to encourage the nation’s largest lenders to loosen up credit, personal finance expert Suze Orman says Obama should not get all of the blame for how some banks have behaved in the last year.

“It’s not all the president’s fault,” Orman said Sunday on CNN’s State of the Union.

“You can pass every law that you want. You can try to do anything in the world – give these institutions money - if they don’t help their customers, what are you going to do about it?” Orman told CNN Chief National Correspondent John King.

Related: Obama adviser slams Wall Street

“I think a big part of this problem falls right back to the banks especially those with credit cards,” Orman also told King.

Asked what she would say if she had a seat at Monday’s meeting with the heads of the nation’s largest banks, Orman let loose.

“I would say: ‘Bankers, what in the world is the matter with you? You took taxpayers’ dollars in order to survive. You are giving out bonuses now. You are acting like nothing is wrong. Some of your stocks have increased in value from their low[s]. However, you are not serving the people that you should be serving.

“In my opinion, bankers,” Orman continued, “you are serving your own bottom lines and shame on you! And if you don’t get your act together, if you don’t start helping those that need loan modifications, if you don’t start helping those that need [small business] loans. . . if you don’t help those that really need you, then we’re going to have to do something about it.’”

Orman added that she did not know what the solution was to get banks to loosen up credit for consumers and small businesses but she suggested the possibility of a windfall profits tax. That, she said, might provide the incentive necessary to get lenders to do what the White House and many members of Congress want them to do to help turn the economy around.

Filed under: Extra • Popular Posts • President Obama • State of the Union • TARP
soundoff (188 Responses)
  1. mark

    stop complaining, if you don't qualify for a loan you can't have one!

    December 13, 2009 07:27 pm at 7:27 pm |
  2. S.B. Stein E.B. NJ

    It isn't the best way to go, but the threat has an appeal to it. I wouldn't want to have to do it; but if there is no change in how they do things, I say nail their respective asses to t\he wall. It is their plans for things they can't explain that got us into trouble in the first place.

    December 13, 2009 07:30 pm at 7:30 pm |
  3. VL

    Who cares what Bush did; he's not president now, is he? Whatever economic situation we may have been in, all that matters is how our current leaders are handling it. It appears that the Obama administration has never touched a basic economics textbook; the Bush administration seemed to have read it at least, but ignored it nevertheless.

    I agree with whoever said that Suze Orman should not offer macroeconomic advice unless she knows what she's talking about, which she evidently does not.

    To the many people bashing Republicans as being 100% anti-democrat, no matter what: both parties do the exact same thing during their "off" years, and it just so happens that Democrats and Republicans do no agree on many things.

    Please don't look at fox news as your example of an average conservative, although doing so would explain most of the ignorant comments on here.

    December 13, 2009 07:31 pm at 7:31 pm |
  4. ib

    It's never Obama's fault; always Bush's fault. That crap is getting old. Obama is the worst president this country has ever had. I thought Nixon and Carter were bad but Obama makes them look like saints and I did live through both Nixon and Carter so I have an idea of what I'm saying.

    December 13, 2009 07:36 pm at 7:36 pm |
  5. Debbie

    Banks are cold blooded and don't give a hoot about the American people. I don't think its Obama's fault its the lack of regulation on banking and fincance that allowed this.

    Nothing will happen that can change banks other than legislation to regulate them. And that's not going to happen because Congress is in the back pocket of banks.

    You can thank your Legislator for the banking situation.

    December 13, 2009 07:45 pm at 7:45 pm |
  6. Donald in CA

    Lets be honest, these companies and banks have so much power that theres nothing the government can do about their behavior. Its the same with health care. The tax payer will lose no matter whats done.

    December 13, 2009 07:45 pm at 7:45 pm |
  7. Orman, are you sure you are helping?

    goodness, my first reaction is if she agrees with Obama there must be something wrong in his decision making

    but statistics says about randomness that that can happen from chance

    December 13, 2009 07:46 pm at 7:46 pm |
  8. Shelly

    Eighth years of destruction by the GOP.....and the destruction continues by them as the President tries to reconstruct this country back again. And remember you cannot create jobs out of nothing. It is apparent that big businesses froze during the last year and only filled their own deep pockets. The stupid assumption that we should just sit back and do nothing ( so not to increase the deficit) is ridiculous. Job stimulation will expand our economy and reduce the deficit. President Obama has it right. And puleeeze do not mention tax cuts for the rich. That makes me puke, GOP.

    December 13, 2009 07:47 pm at 7:47 pm |
  9. RandyT

    Empty suit you say? W was not only and empty suit he was a rancher without cows, only a hat! Spoiled rich kid that never did a hard days work in his life. Let Cheney and Rummy get us into two wars, one of which we should never have been in.

    Left us over $10 trillion in debt and the right complains about Obama now trying to prime our economic pump.

    December 13, 2009 07:47 pm at 7:47 pm |
  10. Gary

    If congress and the Prez had to call Suzie Orman before spending she would tell him that we cannot afford healthcare reform, cap and trade, stimulus or entitlement programs. I say "Suzie for President!" She would do a much better job than the Obama/Pelosi/Reid incompetent team that we have now.

    December 13, 2009 07:52 pm at 7:52 pm |
  11. Jim Lemos

    If President Obama was really serious about pushing the banks, he would have pressed the blue dog democrats to pass the homeowners cramdown bankruptcy bill.

    December 13, 2009 07:58 pm at 7:58 pm |
  12. Gordon Shumway

    It may not all be his fault, but he's sure added his two cents plus worth aided by his cronies who actually helped to stage the economic disaster.

    December 13, 2009 08:09 pm at 8:09 pm |
  13. not me

    The democRATS are spending us into OBLIVION.

    The economy is going to come down crashing around our ears and man\ke this recession look like the good old times.

    My God, didn't anybody in this administration take economics 101 ????

    December 13, 2009 08:14 pm at 8:14 pm |
  14. Rich724

    Obama and his lackeys incompetent ne' er do wells and global warming and Obamacare are two more ploys by the dems to seize control of our country and this time they are attempting to do so under the guise of 'saving the planet". Inside of every liberal is a totalarain screaming to get out. The evil Lord Obama and his minions must be voted out of office very,very soon before they do irreparable harm to the nation.

    December 13, 2009 08:15 pm at 8:15 pm |
  15. gary davis harbor oregon

    she is correct
    and rthe banks need to get with the program ,start loaning money to qualified people . or the government should open a bank ,and the banks can piss off. maybe we need more government options . the private sector not having controls over them ( oversite) seem to screw everything up and they always get away with it . all of them should be in jail along with the lenders on bad loans knowing that the people wouldn't normaly qualify. time for government big brother to set rules that the last administration opened the door and let all the crocks do anything they want . this presidents only problem is allwing all of them a chance to correct the problems . so they have had there chance and they choose not to help fix the problem .. ITS TIME TO CALL IN THE LOANS . and use the money for a government bank.. 🙂 and the republicans can go away .they have had all the chances given them to also get off there lazy lieing ass's . time to get this nation going again with new rules and regulations . remember it says (WE THE PEOPLE )

    December 13, 2009 08:16 pm at 8:16 pm |
  16. Steph

    Oh please Lord. Send me a president W. Bush. More wars, more spending and he's own party says nothing about it. Now Obama is the commander in chief, and nothing that he's doing is good. Give me a break!

    December 13, 2009 08:17 pm at 8:17 pm |
  17. cgillette369

    did she review her EIGHT years of waitressing with the man who never held a job?

    December 13, 2009 08:17 pm at 8:17 pm |
  18. Jim

    If the president was serious about stopping home foreclosures , he would have pressed the blue dog democrats to pass the homeowners cramdown bankruptcy bill.

    December 13, 2009 08:18 pm at 8:18 pm |
  19. Greg in MO

    This is what happens when you don't let capitalism work. When allowing capitalism work, the banks that are not serving their customers fail. That is a basic principle and the reason they should have been left to fail. Sam Walton provided an example of capitalism when an organization provides for the customer. Both prosper.

    There is real ignorance of capitalism these days and the result has been a failure in this and previous administrations attempts to "fix" the markets. Let the consumer fix the market because, in a capitalist society, the consumer has the power. The only thing the government can provide are problems. Let's not let this ignorance lead to socialism where the consumer, THAT'S ALL OF US!, has no power.

    December 13, 2009 08:19 pm at 8:19 pm |
  20. Dave

    Who let this woman on TV – she is the biggest airhead known to man. Our economy is not flourishing because businesses are honestly scared about the radical steps this administration and congress are going to take.

    December 13, 2009 08:19 pm at 8:19 pm |
  21. Ted

    Liberal-Democrat government meddling started this whole mess – the Community Reinvestment Act forcing banks to make loans to people who were not qualified.

    Government needs to keep its hands off the free markets.

    December 13, 2009 08:22 pm at 8:22 pm |
  22. James

    The banks are like Saddam, they don't get it. So give them a little "Shock and Awe" or the M.O.A.B. (Mother Of All Beatings) and reinstate Glass-Steagall.

    Hit'em hard and immediately. don't let them dodge like they have everything else.

    Oh yeah, arrest their lobbiests for treason.

    December 13, 2009 08:23 pm at 8:23 pm |
  23. Eileen

    This is what you get when you elect someone with no leadership experience. Obama does not deserve to be president of this country or the nobel peace prize. I can not wait for this nightmare to be over in 2010 and 2012. Think for yourselves, you don't need Oprah or the media to tell you how to think.

    December 13, 2009 08:24 pm at 8:24 pm |
  24. Dean

    She's right Obama got handed a mess when Bush left office My how short republican minds are.

    December 13, 2009 08:27 pm at 8:27 pm |
  25. mak

    I'd say the government needs to give bankers a slap in the head, and knock some sense into them. Have the Federal Reserve nationalize (take over) and operate Bank of America, or some other large bank, as a government retail bank. Who needs private bankers anyway? They've proven beyond a reasonable doubt that they are of little value to the "man on the street." I'd be more than happy to bank at a government bank.

    December 13, 2009 08:28 pm at 8:28 pm |
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