And it's the SAME plan that John McCain proposed during the Presidential debates . . . You know, the guy that Rick Santelli voted for??? Think about that ONE for a moment.
You really don't get it do you? I guess you have never heard of "counter-party" risk. Think Lehman X's 1000.
that is complete bullocks. Wall Street has just sold what people demanded at a juicy mark-up, nothing more nothing less. All the crises you mentioned were created by the normal guy on the street who either could not get his/her mouth full enough or was under the steadfast belief that he deserves more than he can afford. Who ever promised that you can afford yourself your own home after a few years of work plus 2 cars (one of which is a sports car), a boat, plus some nice vacation with an annual income of 40k??? Dont blame bankers for creating such dreams!
no it has not. This (the housing plan) is not to bail out banks but almost entirely about consumers, consumers, consumers. I guess you are rather the one who does not get it. Teh target of discussion is not about banks anymore and it has not been for several months now in case you have slept (aside the Citi and BoA issues). The focal point has turned to unemployment and in turn consumer spending which is the driving force in every economy. Unemployed and those who cant make mortgage payments anymore dont consume, simple as that. Not sure which part you dont seem to get.... Of course are most participants in this debate highly hypocritical and mostly serving their constiuents, no question. The administration knows very well that everyone would balk if they only continue to prop up some financials and car makers. No, they now try to sell the story through the back door by telling they are concerned about the whole economy which means they now address the small guy on the street. How its done is laughable but the idea that the real issue lies with consumers and not some banks or car makers is right in my opinion.
oh thats right,i forgot.It is working stiffs who dictated, manipulated and hoodwinked poor wall st wizards,mba's and quantum analysis experts into creating subprime loans,exotic derivatives, cd swaps,cdo's etc... I dont know what house or planet YOU are on but here on earth and in my house anybody asking me for a 1000$ loan is gonna have to give me collateral and show me a verifiable credit worthiness.I know an undocumented immigrant gardener who got a no money down $550,000 loan to buy a house now worth less than half that.This guy can hardly speak english and is nearly illiterate.Are you telling me that the bankers were outfoxed by this guy?Because if so they should be fired from the industry forever for lack of common sense.Any 5yr old knows better than this. Speaking of santelli he is now running around on talk radio, like noted idiot gordon liddy,and crying and inferring that the govt is looking for him and his family and where he lives etc...He s crying that his kids are afraid to go to school!What a phony wimp.He's lost a lot of respect.More CNBC nonsense.Wonder how much cnbc ad rates have dropped.
you are behaving like a hooker who blames all those wankers for paying her in exchange for ........! What a miserable life she has got, its all the fault of those guys who made it possible, right? Truth is, people wanted sugar and if possible cheap or free-of-charge. Guess what, someone gave it to them, however, nothing in life, unfortunately, is free.
so you agree to bail out this poor gardnerer? bankers who gave money to this losers should bankrupt or be in loss and not bail out but on the other hand, those who were so stupid that took mortgage even if they knew they can not afford it , these people should not be bail out as well.
I'm with you. Don't get me wrong, in this whole situation there aren't a lot of people who are NOT to blame. BUT, Simple regulations and obvious restrictions could have easily prevented this whole mess. Mortgage brokers to me are the biggest scumbags around but if the stupid appraisers and banks actually DID their job, none of this wouldnt happen. I knew a bus boy that got a 120% mortgage for a 500,000 home and was making about 25K a year. If the banks actually did their jobs instead of just be greedy this country would be headed for a grand time. If you try and buy 250,000 shares of AAPL but you only have a $10K money line, your trading software isn't going to let you do it right? It's that simple.
Of course this gardner shouldnt be bailed out.But how in the hell where there no rules for collateral or down payment required.Nobody i know would lend money to a complete stranger who has no money or collateral.Pawn shops are run better.Banks knew exactly how useless this borrower was but since they could sell this loan off as mortgage backed securities or whatever other exotic scam derivative and/or have it garanteed by the govt ...they didnt care about long term consequences except for the commission fees they earned up front.
Overstretched, irresponsible consumers brought the economy down.... it wasn't this stuff... that's like saying guns murder people and the ones who pull the trigger are victims. Had every consumer borrowed responsibly and honored the contracts they signed we wouldn't be having this discussion.