"what did they do with their money"

Well, we know a good chunk went to 6 and 7 figure bonuses for the CEO's, etc..

I do follow your line of thinking with respect to nailing the banks with "well above prime" interest rates. Their shareholders may not be happy with such a re-payment plan, but then again, they also enjoyed collecting dividends when times were good, so... I say, suck it up, to those people.

Yes with the charges they charge and all those record profits what did they do with their money. I wonder also if the taxpayers should be charging them 19 % interest and extra charges if they are a day late with their payment or go over their limit.

lol.. reduce their loans by the amount of the taxes? nice!!

and for those that don't have loans, give them equal tax credits or refunds

In all of my life , I never thought I would see banks in trouble like this... to me it's unfathomable.

If the taxpayers are bailing out Citibank then shouldn't the taxpayers tell Citibank to just take off the amounts the taxpayers owe them rather than make their monthly payments.After all the taxpayers are lending them money now.

The American gov't is not going to let Citigroup or AIG go bankrupt. If the gov’t would have not loaned Citigroup and AIG the money, then we would been heading for a deep recession or depression.

True... however a banks loans to the customers are its assets..
If the bank goes bankrupt, it would probably have to sell its assets at a discount.. that's the curious part... does that mean my mortgage or credit card will be discounted as well..

Obviously not... however it's an amusing thought.

I expect it's no different if you or I go bankrupt, they sell off the assets to pay the creditors, only in this case assets include peoples debts.

No way are thousands and thousands of debts just going to disappear, someone is going to collect.

I was shocked when the U.S. government had to prop up Citibank with approx $330 billion worth of loans and loan guarantees.

That's pretty nasty.

So... what would have happened if Citi bank goes bankrupt..? Does that mean y ou don't have to pay your loans or credit cards with them?

It's a pretty sad situation.