George Bailey is us -- all of us

This is going to sound like a commercial. Given all the manure we’ve been fed about bankrupt banks needing us to borrow money we don’t have and give it to them because they made bad government-backed loans, though, I think we can handle an extra helping of free enterprise.

While the banking crisis seems to be not so much reality as Washington-speak, a little web site called Prosper.com is lining up lenders and borrowers. And you can keep your FDIC insurance and your federal entanglements if you don’t mind doing your own homework.

Check out the site and consider doing business with them if you want — I don’t have an account or a stake in you doing so — but please take a look at their blog for a glimpse of what business in America used to be like:

“George Bailey is us…people and Prosper. If you don’t know what I’m talking about you can check it out at Prosper.com. It’s people helping people. Those who have – help make loans. Those who need – borrow. Pretty simple stuff; pretty amazing stuff.” “Prosper harkens back to a time when helping individuals was part of what a community was all about. The old Savings & Loan concept is alive and well. People looking for loans from $1,000 to $25,000 can go to Prosper and appeal to the George Bailey in all of us as people bid on the amount and interest rate of the loan. Just people helping people…and all without a bank. As our “real life” run on the banks continues, Prosper and its members may be among the last, safe places to get a loan.” “So, as banks fold and our faith in financial institutions fade, it’s nice to know there’s still a little bit of Bedford Falls out there. Like their slogan says, “Let’s bank on each other.” And, don’t worry. Like in the movies, things seem to work out in the end.”

cross-posted on Blugrass Policy Blog