The largest middle class in American history began when the returning WWII GI's took advantage of the newly created GI Bill. This bill gave this 'Greatest Generation' of GI's access to low cost housing and education and resulted in millions of homes and thousands of engineering and technology degrees. The economic and technological boom that this GI Bill created lasted for the better part of 30 years including the Space Race of the '60's and 70's.
It was one of the most successful socio-economic experiments in American history. The American Public Bank™ is a citizen's version of the GI Bill. It calls for the creation of a new kind of bank - a Public Bank - Federally Chartered, Non-Profit Bank that will borrow money directly from the U.S. Treasury - the same as the big banks - but at rates of .5% for 60 years and pass this loan directly through to the veteran owners of the American SuperHome™.
(As a note; Public Banks are not new Worldwide. They have existed side-by-side with private banks for centuries. Public Banks in Japan, China, Russia. Brazil, and India, for example, are the largest banks in the World. It is only in America that Public Banks do not exist - except for the Bank of North Dakota.)
With this kind of loan, the much higher quality Superhome™ would be able to financially compete with ordinary wooden homes. The American SuperHome™ will sell for about $585,000. With a standard mortgage of 5% for 30 years from a conventional bank, the monthly payments on this mortgage alone would be about $3,140/mo. – beyond the range of all but a few Americans. If the same home were to be financed with the American Public Bank™ mortgage at .5% for 60 years it would cost only $940/mo. (including the Tesla Model X all electric car) well within the financial range of almost all Americans.
are further financial advantages to the American Superhome™
owner: These homes have no electric
utility bill, no gasoline costs (with an electric car), virtually
no food expenses, very little maintenance, and a very small home
insurance bill. These kinds of cost of living savings could radically
change the financial picture for individual American families and for
us as a Nation. Ownership of these Superhomes is the first step in the 'Fundamental Wealth' program we have created for our veterans.
The Outline for a Federally Chartered, Non-profit American Public Bank™:
1. The American Public Bank™ can be chartered by citizens directly as a public bank. It does not need to go through Congress.
2. The non-profit, affirmative action American Public Bank™ would be chartered to borrow directly from the U.S. Treasury (exactly the same as the big banks do) – except at a rate of .5% for 60 years and would also be specially chartered to pass this loan directly through to the homeowner.
3. These would be loans paid back to America. They are not non-repayable programs such as government grants or loans that come out of the taxpayer's pockets.
4. The American Public Bank™ makes pass through mortgage loans only – no credit loans. Credit is left up to normal commercial banks. The American Public Bank™ is not a solution to the current banking and credit crisis – only to the future of energy independent building in America.
An American Public Bank™ loan will not be
transferable (i.e. the American Superhome™ cannot be sold), it cannot be refinanced and cannot be encumbered with other
loans for the life of the loan. Also, the loan
remains with the home for the life of the loan,
the ownership of the home
can change with the
approval of The American Public Bank™. This is to prevent 'flipping' or speculation that could force the price of the home much higher.
8. Preventing Foreclosures. American Superhome™ owners are encouraged to prepay the mortgage payments as security against the loss of their home to foreclosure rather than paying down the principal. Many of the people that used the money from the sale of their previous home as a down payment on a new home lost that equity when home prices fell. Prepaying the mortgage, on the other hand, gives the homeowner several advantages; First, a prepaid mortgage acts as a cushion against hard times. If a home owner were to use the same money from the sale of their previous home and put it into prepayments on a American Superhome™, they could have a 5, 10 or 20 year cushion to fall back on as part of a long term retirement program that cannot be taken away. Second, it helps to rebuild credit that may have been damaged in the current financial crisis. A person with several years of prepaid mortgage (especially with a American Superhome™) is an excellent credit risk. Third, it prevents homeowners from spending the equity in their home (one of the primary causes of today’s foreclosures) and encourages Americans to develop ‘Fundamental Wealth’ – the free and clear ownership of a self-sufficient Home.
The Benefits of The American Public Bank™ to America
The effect of signing The American Public Bank™ into existence is immediate and personal. Every American can identify with this program – young or old, rich or poor, homeowner or not, and it re-establishes the credit of those damaged by financial turmoil – even if they suffer a foreclosure and their home has been taken away.
1. Nearly every working American Citizen who can afford $940mo. (using the example above of our standard $580,000 American Superhome™) can afford to live in the most advanced, energy independent, healthy, and safe home in the World.
2. A The American Public Bank™ mortgage is a loan that is repaid directly back to America. Economy recovery money, government grants, or even badly needed infrastructure repair is money that is not repaid back to America.
3. If, as an example, $1.5 trillion (the 10 year first stage projection of the Noah's Ark Movement™) were to be committed by the U.S Treasury to American Public Bank™ mortgages:
a. This $1.5 trillion would provide The American Public Bank™ mortgages for one million American families. (The government rescue programs do not provide homes for American citizens.)
b. This $1.5 trillion would go directly back into the economy creating as many as 15 million new American jobs, one million new small businesses, and 25,000 new family farms in a decade as well as creating thousands of new small businesses supplying products and services for use in the new American Superhomes™ ranging from concrete supply to kitchen cabinets and from photovoltaic panels (an estimated $60 billion per year business) to rooftop gardens – jobs and businesses that can stay in America and pay taxes back into the government – an excellent investment.
c. Building American Superhomes™ would offer high paying employment opportunities directly to more than a million American service men and women.
d. The American Public Bank™ would revive the ailing construction industry.
e. One million Superhomes would create a new demand for at least one million new (Tesla) electric cars over the next 10 years running 100% on solar power generated by the American Superhome™. This represents $85 billion in revenues to the American auto industry. In addition, the planned 25,000 Noah's Ark Global Villages™ scheduled to be built in this next decade all across the Nation could act as 'filing stations' for recharging these electric cars.
f. There would be 1 million American Superhomes™ that would not be contributing to Global Warming and to the pollution of our water, land and air.
4. American SuperHome™ loans are a solid equity investment for America. In addition, the The American Public Bank™ does not invest in risky Wall Street investments or issue consumer credit loans, and hence will not be subject to financial potential stock market or banking collapses.
5. The effects of this program are felt immediately and can be seen in the faces of American citizens and families instead of billions put into vague government programs that few understand or trust.
6. The American Public Bank™ as a very attractive non-partisan political solution on many levels.
It is a stable and permanent solution
to the economy, energy independence,
water and food crises, and the environment and it requires
no government ‘bail out’ money now or in the future.
Finally, $1.5 trillion spent by The Noah's Ark Movement™ on wages, materials, products, and services over 10 years generates overall taxes of about 25% or a direct return to the U.S. Treasury of $375,000,000,000 - $375 BILLION. - not a bad return for the government.