I'm sick and tired of Guy A'Dami, and his other lackies saying that Joe Consumer knew what he was doing, and should be punished. 1. Although some consumers did try to jive the system, they had to have the help of mortgage brokers. They just pinched one down here, and her 'customer' for scamming millions. 2. As a former licensed professional, when all else fails, it is the responsibliity of the license holder to do the right thing. He/she is trained and schooled for a reason. Why else would states make you take continuing ed? 3. Firms like Countrywide, and the brokers that bought and packaged, are also culprits, being licensed 'professionals', albeit Ashley DuPree type professionals, who we all knew were doing what they were doing. As Crames said, in a video.......'we did this stuff when I was at Goldman. Someone would ask, 'what happens if this blows up?' And someone else would say.....'who cares!!!????? Look what they are paying us to sell it!" What's next? When I was at a big firm, I had a lawyer call me to buy me lunch. What he wanted was "sales material>" That's what they are looking for now. You are going to see SEC/DOJ action upon action, followed by Class Action lawyers. That simple.
Don't lie, it's very obvious from your posts that you have never worked on the street, or in finance. I reckon your experience is from non-profit or local government
Too much money floating around .... cheap money from China, from the Fed, from fractional banking. Something is gonna boom & bust, somewhere. It doesn't matter how much you regulate, or who you blame. Everybody is looking for a piece of the pie during the boom. And can you really blame them?
I found this article to be pretty interesting. http://www.bloomberg.com/apps/news?pid=newsarchive&sid=ah839IWTLP9s
flytiger did work in finance and runs a small albeit unprofitable company: OSTK Who's fault is subprime? Obviously, the naked short sellers.
Using your logic McDonald's is responsible for making people fat. Everyone who signed a contract was an adult and every contract was legally binding and contained the terms of the mortgage. Either "the consumer" knew what he/she was doing or should have. The root cause of this is a culture of entitlement and addiction to spending more money than people have. Class action lawyers for what? To sue for the right of deadbeats to live beyond their means?
I blame the "bling" culture, and the nouveau riche's inability to save or be content. "Constantly striving, never arriving" -Dr. Wayne Dyer