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There you go. See, it was not that hard. "Certain restrictions apply." And they are all legal as the day is long. No argument on that point. Nice when industry writes its own laws isn't it? That still does not make it moral, ethical or less fraudulent.

The banking panics of the 1800's were caused by this fraud. The problem is that like any other ponzi scheme, it must have new inflows to keep moving forward. The central bank as lender of last resort cured the symptoms, but really just expanded the ponzi base.

Bernie Madoffs victims were thrilled right up til the end too.

There you go. See, it was not that hard. "Certain restrictions apply."

Congratulations! You sign paperwork that says the bank can do certain things and then the bank does those things and it isn't fraud.

Nice when industry writes its own laws isn't it?

That's funny. As if banking isn't one of the most regulated things in the country.

That still does not make it moral, ethical or less fraudulent.

Yeah, it makes it less fraudulent.

Definition of FRAUD
1a : deceit, trickery; specifically : intentional perversion of truth in order to induce another to part with something of value or to surrender a legal right b : an act of deceiving or misrepresenting : trick