Saturday, June 9, 2012
Banksters or is it Gangsters?
As promised the news on banks at least this week includes four more failures. Maybe that could be the newest scam. Open a bank with borrowed money. Give yourself an obscene salary and plenty of bonuses as CEO then when accounting time comes declare bankruptcy and be taken over by the taxpayer.
But this wasn't to be about hypothetical things it's about what's really going on and that is just about as ludicrous. Banks, those grand purveyors of debt, would like nothing more than see the current mortgage crisis disappear. and what better way to do that than ignore the problem. Exactly how they do that without getting caught by the eagle eyes of a state auditor is the 64 million dollar question. As we all know there still remains on the books of just about every bank in this nation hundreds of non paying mortgages compliments of the policies of the last administration. So lax and foolish were the regulations that even someone making minimum wage was more than apt to secure a loan. Down payment? No need for a down payment that'll just be added to the loan because, after all, values will go up forever and the loan committee is out to a cocktail lunch they'll be back at 3:00 with enough time to approve anything. They're in a good mood after getting their bonus checks.
And now the rubes are stuck having been well fleeced by the boys in the flannel suits. Not only did the poor slobs lose even a scrap of equity they may have gained on the family castle but are now faced with foreclosure costs. If that wasn't harsh enough there's a tricky little clause in their agreement that says the bank can go after the remaining balance even after the home is either sold or torn down. My god I think dictators treat you better than that. Tis true though it's called a "lien on default".
Now looking around any city or small town in this nation I'm sure you've seen a boarded up home or empty shop. Some coming in total disrepair as time goes by. Eventually the rot begins to show. There's broken windows, uncut lawns and stolen metal where scavengers left their mark. And what of the banks' responsibility as they are now the not so proud new owners? Ha! you think they care? To them it's all just figures on some spread sheet. How to make it disappear? And don't think you can cause anything to happen by calling the local health department their hands are tied. They issue a citation that's ignored by the bank because after all what recourse is there at this point? A city can't foreclose on the bank on a property that has little to no value.
So it looks like the banksters have gotten off scott free. They've managed to create the perfect theft ring. Al Capone on his best day could not have conceived of a better scheme. Rob the victim and leave the bystanders to clean up the mess and get the cops to help you carry the loot to the getaway car.
Four more banks hit the skids this week one each in NC, SC, IL and OK.