Banks got 7.7 Trillion dollars for the mess that they created and what did the homeowners who lost their homes get? Settlement is for $25 billion but for those who actually got kicked out of their homes a paltry $2000. And nothing said about one of these crooks going to jail for the scam mortgages or robo signing documents. Last time I checked forgery on that scale was still a felony.
You've heard of a bank robbery? Well now we have:
Homeowner Heist
Twenty five million homes have been foreclosed on from 2007 to 2011 and I'd bet more are to follow yet little was done to stop or even slow the process. So we were robbed twice. The banks got a bail out and nothing more than a slap on the wrist. The justice department sat on their hands and watched this happen and not until last month did our government even begin to address the problem. It was a multiple win for the banks as I see it. They got the fees for closing the bad loans in the first place. They got the initial mortgage payments that went mostly to interest. Then when the homeowner couldn't pay they slapped on late fees. Unless the homeowner files bankruptcy he gets hit with the foreclosure costs. The bank gets to keep the property. And to add insult to injury the bank can go after the homeowner for the difference between the mortgage balance and what they can sell it for which is called deficiency of lien. And what did banks do when poop met fan? They raised the fees on regular customers checking savings debit and credit accounts many whom probably don't even have a mortgage.
Here's a bit of info that nobody is considering in all this. For all his blather, and you know that's all it is, Newt Gingrich rants about going after Fanny and Freddy (you'd think they were Bonnie and Clyde the way he talks). Well if they did that the big boys Chase, Wells Fargo and all would take a beating for you see they hold secondary mortgages on all or most of these loans. Keep peeling back all the layers of rating fraud, scam mortgages, liar loans and all and you have an onion with nothing in the middle. And Newt for all the BS that he's feeding you was promoting the very thing he's now saying he's against. Historian my butt!
And good luck trying to get a mortgage these days. Be prepared to provide proof of every financial transaction of the last twenty years. It wouldn't surprise me if they didn't ask for a cavity search. Late on a car payment back in 1975 could disqualify you. Credit score better be in the high 700s or higher to pass their approval. One error and they'll show you the door but you think any of them will see the inside of a prison for what they've done?
7 comments:
Alan just refinanced his home on four percent rate, is that a good rate?
His credit score was 740. I think it was a stupid thing to do just because he likes his fancy lifestyle and doesn't want to sell any of his fancy toy's.
But hey, not my problem if he gets in trouble.
I'm going to have to email you instructions on how to make a proper fucking link.
Okay, email has been sent.
Alan is a contractor and built his own home over 20 years ago, keeps refinancing it to keep up his fancy style. He's having trouble finding jobs, this could backfire on him.
But I guess it's the American way.
"And good luck trying to get a mortgage these days. Be prepared to provide proof of every financial transaction of the last twenty years."
It might have to come to that. It's extreme, but the pendulum needs to swing the other way from when banks were hustling people into mortgages they couldn't afford; as many people as possible as fast as possible.
I pretty much just pointed out the bare bones of this over at Comrade Misfits.
they are holding billions of dollars in real estate and keeping them off the books.
We, the people, have been hoodwinked, spanked, raped and handed the bill while these fuckers got bailed out, huge bonuses, escaped any kind of public accounting, other than the palrty 2.5 billion dollar fine, which they will find a way to offset, and STILL, are sitting on BILLIONS OF DOLLARS OF REAL ESTATE.
It is the biggest theft in the entire history of the world.
Even better, it is Government sanctioned and tax payer funded, twice.
I think Thom Hartmnann's take on this deal to hold the banks at least somewhat accountable is probably right. Hartmann speculates that because there's no way to get anything really tough through Congress, and because the banks could easily drop $1 billion or more into pro-GOP, anti-Dems attack ads, smear campaigns, etc., and Republicans' campaign war chests, a deal like this was the only feasible way to go for now.
So, he said, the banksters probably got a pass on facing the investigations and indictments they deserve, in return for coughing up this $25 billion now, which for people who are hurting is better than little or no help way, way down the line, after years of court battles.
Sounds plausible to me, anyway.
Sometimes the best you can do is all you can do.
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