Verde, que te quiero verde
Shamrock seeds aplenty, here. If you missed the first, CHECK IT OUT.
I love the green. Not cash or payday loans, the color. The feeling. The Schulers share Master Gardener Valerie Cribbs’ view on the meaning of shamrock green:
The shamrock was first used by Saint Patrick as he explained the holy trinity to his followers, but the history of its somewhat magical attributes dates back further than St. Patrick. The druids considered the four-leafed clover good luck and the Celts considered the shamrock an effective charm against evil. It’s even rumored that Eve wore a shamrock in the Garden of Eden! Each leaf on the clover stands for something different; one stands for hope, one for faith, and one for love and the fourth for luck.
Sounds delightful and non-toxic. Of course, the druids weren’t eating them in mass quantities like Beldar…
Shamrocks are an asset… just not a toxic asset
Let’s talk about something that IS toxic to the economy. It’s the bleeding red books too many American banks have been carrying. Those toxic assets are deadly to our economic recovery. If you are unsure as to exactly what a toxic asset is, help is available in simple layman’s terms. Here’s an easy-to-follow description:
Let’s say that Bob had a loan with Mellon Bank. The Loan is for $200,000 for a house and Bob pays 6% interest. The house is collateral, meaning Mellon gets the house if Bob defaults. But this house was valued at $275,000, so what is the worry?
So now Mellon Bank has “mortgage paper”, which is an asset. They can sell the mortgage to anyone they wish. Bob will then be required to pay the purchaser, who will get the benefit of the 6% interest. It’s an investment which may (or may not) make more money in the future. A good idea if Mellon needs money immediately.
But ol’ Bob doesn’t have the money to pay this mortgage. At the same time, the house value has greatly reduced to $150,000. Bob still owes $199,000.
If Bob defaults on this, Mellon will only be able to recover a portion of their money back. The mortgage paper has now become illiquid (the house can’t pay the mortgage). Mellon is now unable to sell it. Why would somebody pay for an asset that guarantees you will lose money?
That mortgage has become a “toxic asset.”
Let’s celebrate this St. Patrick’s Day
May the feds not cop your shamrock seeds
May the wind scatter them to fertile soil
May the sun shine warm upon your finances,
And the rains wash toxic assets away,
And, until we meet at Personal Money Store again,
May the economy ne’er capsize your open boat
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I understand the cops seizing the beef and the pork (there were embargoes of Irish beef due to mad cow and pork due to e coli) but shamrock seeds? It’s a species of clover – it grows everywhere!