There is no question that probably the most important tool that the increasingly cash-strapped people of American can use to reassert their power more than the economy and their economic lives is their monthly debt payments. Without the large amounts of borrowing that have been accomplished in current decades, most of the funds in existence right now would cease to exist, and banks could be in a much more hard position.

The truth is, many banks, if buyers stopped generating debt payments, would face collapse and bankruptcy in a matter of days as money flow would dry up surprisingly quick. Smaller lenders that relied on only one specific type of credit, typically subprime mortgage loans, have already gone out of business, plus the FDIC is preparing for the possibility of massive numbers of bank failures. And this is just the beginning, and reflects only more defaults than expected primarily within the mortgage industry.

It’s the banks that have impoverished the nation, manipulated interest rates plus the housing marketplace, tricked the individuals into taking out much more loans than could ever be paid back, and attempted to make it a lot more tough to escape this predatory credit trap through bankruptcy. But by enslaving the people and chaining them to their corporate jobs below threat of foreclosure or public humiliation, the lenders have also given Americans the one most important tool that can bring them all down.

When one group or organization takes out a significant loan from a bank, that group then owns the bank and can dictate the terms of the agreement from that point forward. After all, if the group that took out the credit decides not to pay it back, the bank will probably be in critical trouble as they are going to need to write off that loan and they’ll not be collecting the principal or interest payments any longer. Therefore, the borrowers have a significant influence on the banks merely through the act of borrowing.

More than the past decade, banks had spent all of their time handing out funds to everyone who could sign their name on a piece of paper, thereby generating huge amounts of new credit. But they’ve also given away all of their power to control money by relying on the financial wellness of the lower and middle classes of America, who’re now getting squeezed out with the economy by the banks’ larger economic manipulations.

However it is these very same borrowers, the group comprising the lower and middle classes who are now losing their homes en masse, that own all of the loans and, by extension, the banks. If sufficient of them just quit paying the debt they have taken out, the banking technique may not even be able to survive long sufficient to initiate foreclosure lawsuits and try to repossess assets. Politicians, in turn, might need to start listening to their constituents as an alternative to the banks.

Such a basic refusal to pay (if it isn’t probable to pay off a bill entirely and retire the debt absolutely, thereby also destroying the money) may be a most effective social movement and act of civil disobedience. Without having causing a single act of violence or breaking a law, the people could show the banks, bill collectors, and their lapdogs the politicians who’s really in charge and that the well being of the people is intrinsically intertwined using the actions of Wall Street. The lenders would no longer be able to treat the people today as a feeding trough for effortless dollars and a garbage dump for predatory lending scams and bad financial investments.

Naturally, this really is not an act that might be taken without large-scale participation by homeowners and borrowers, and there may well be negative consequences for some families who wind up losing their household or assets anyway. But it would not take long for a skyrocketing default rate to catch the notice of politicians, who might then recognize that it’s in their own ideal interests to serve the will with the people rather than in search of excuses to defend banks and corporations from the manipulations with the government, banks, and corporations.

The banks would notice the lack of payments coming within the door instantly, and may possibly decide it really is lastly time to come towards the negotiating table with homeowners who are struggling financially. Some borrowers might even get their telephone calls returned by mortgage corporations, or end up with an approved loan modification or other foreclosure remedy, as opposed to getting ignored until the day ahead of their residence is auctioned off out from below them.

Nonetheless, the longer the foreclosure crisis rages along at a pace that permits the banks to go to the government every single couple of months begging for much more bailouts, tax breaks, and totally free funds, the much more homeowners will end up homeless with out any action getting taken to hold the predators accountable. Regrettably, if the situation persists as it has for the prior year, far more people will be unable to stop foreclosure, the banks will cover up their own bankruptcy through Federal Reserve bailouts, and prices will keep rising as a result of the continuing manipulation with the markets for the benefit of banks.

In the finish, though, it may finally be time for the average person, so preyed upon by the banking industry for nearly a century in this country, to start reasserting ownership with the dollars with the nation. Although there may be a shock towards the banking system if massive groups stop paying their bills, it may well be preferable to the slow burn of just sufficient folks losing their properties in smaller numbers at any given moment, which engenders sufficient apathy for the existing system of lender misconduct, deception, and corruption to continue.