Comments on: Paying For The Mortgage Mess http://dissidentvoice.org/2007/08/paying-for-the-mortgage-mess/ a radical newsletter in the struggle for peace and social justice Thu, 08 Dec 2011 15:07:30 +0000 hourly 1 http://wordpress.org/?v=3.3.1 By: Alan http://dissidentvoice.org/2007/08/paying-for-the-mortgage-mess/#comment-12052 Alan Mon, 31 Dec 2007 23:14:09 +0000 http://www.dissidentvoice.org/2007/08/paying-for-the-mortgage-mess/#comment-12052 We know that Fannie Mae and Freddie Mac are already putting "bailout" deals inplace (wink-wink) for the banks. The next thing is for the banks to "package" all the overbaked loans and sell them to an S&L, just to let them take the "hit" on the bailout, while keeping their performing loans to themselves. The investor who was taking a measured risk (secured by property) will soon get the screwing of a lifetime with access to future mortgages and credit curtailed, and a big 1099 coming for the "write-down" on his defaulted mortgage. Its no secret that the Brokers and banks made unjust profits pumping out these loans, and could care about anyone getting stuck with them - after all, they have their$, and who cares if more dumb bastards (us) are getting screwed. I would like to see the brokers and bankers who knowingly placed this paper get some financial punishment from the stockholders who were powerless to prevent the raping of their corporate coffers with CEO guarranteed pay contracts and usurious commissions paid out of insane closing costs. (and we paid and paid). I got banged with points and fees and PMI at my closing, all of which was buried in the "you might have to pay this under certain conditions" in the fine print, which passes for "disclosure and truth in lending". The banks will write this off, its us poor working slobs who bear the real cost of this. We need a way to retain our property and punish those who inflated values and closing costs. We know that Fannie Mae and Freddie Mac are already putting “bailout” deals inplace (wink-wink) for the banks. The next thing is for the banks to “package” all the overbaked loans and sell them to an S&L, just to let them take the “hit” on the bailout, while keeping their performing loans to themselves.
The investor who was taking a measured risk (secured by property) will soon get the screwing of a lifetime with access to future mortgages and credit curtailed, and a big 1099 coming for the “write-down” on his defaulted mortgage.
Its no secret that the Brokers and banks made unjust profits pumping out these loans, and could care about anyone getting stuck with them – after all, they have their$, and who cares if more dumb bastards (us) are getting screwed.
I would like to see the brokers and bankers who knowingly placed this paper get some financial punishment from the stockholders who were powerless to prevent the raping of their corporate coffers with CEO guarranteed pay contracts and usurious commissions paid out of insane closing costs. (and we paid and paid).
I got banged with points and fees and PMI at my closing, all of which was buried in the “you might have to pay this under certain conditions” in the fine print, which passes for “disclosure and truth in lending”.
The banks will write this off, its us poor working slobs who bear the real cost of this. We need a way to retain our property and punish those who inflated values and closing costs.

]]> By: James http://dissidentvoice.org/2007/08/paying-for-the-mortgage-mess/#comment-4640 James Mon, 27 Aug 2007 18:29:02 +0000 http://www.dissidentvoice.org/2007/08/paying-for-the-mortgage-mess/#comment-4640 If you own 0 equity in your house do you own the house? Why bail out the speculators? A bailout of any kind creates a moral hazard that as an individual you are not responsible for your actions. If people aren’t going to think when they make the biggest purchase of their life I think they deserve to get burned. Plus a bailout is to bailout the hedge funds along with the speculators. Giving money to the home-borrower just enables him/her to pass the buck along to the hedgies and banks at the expense of savers and people who think. If you own 0 equity in your house do you own the house? Why bail out the speculators?

A bailout of any kind creates a moral hazard that as an individual you are not responsible for your actions. If people aren’t going to think when they make the biggest purchase of their life I think they deserve to get burned.

Plus a bailout is to bailout the hedge funds along with the speculators. Giving money to the home-borrower just enables him/her to pass the buck along to the hedgies and banks at the expense of savers and people who think.

]]> By: Trevor http://dissidentvoice.org/2007/08/paying-for-the-mortgage-mess/#comment-4473 Trevor Fri, 24 Aug 2007 13:47:44 +0000 http://www.dissidentvoice.org/2007/08/paying-for-the-mortgage-mess/#comment-4473 Clearly, this whole problem is the fault of the non-business minded borrower who was naive enough to listen to the loan-hawker who, wearing a big howdy-doody smile, encouraged the public to come on in for a loan to buy their dream house. People should know enough to shun all advertisements and stay far away from home builders hawking their goods. Sure, these Wall Streeters knew very well that they were operating a Ponzi scheme, but they also knew three other very important things: the majority of the public doesn't really understand economics and personal finance, the scheme was going to make them filthy rich and that, since capitalism has always been about the raping of the underclass for the benefit of the super-rich, the political system would bail them out and blame the underclass for being stupid enough to be victims of their criminal enterprise. This is all just more of what has come to be known in America as "good business." If you are in a position to know something that allows you to screw over those who don't, you go for it and let society clean up your mess while you catch some rays and count your winnings on the beach in Cancun. David is absolutely correct in his comment. We shouldn't be blaming the poor unscrupulous business owners and shady finance dealers for their victims fates. Not in a capitalist society where that is actually the goal of the game being played. My only problem is that we don't allow capitalism to fully blossom from criminal enterprise. I mean, to extrapolate a tad on David's thought, we also shouldn't blame drug dealers for their victims fates, nor bank robbers for their victims fates. After all, this is America! We're a predatory capitalist society; and the essense of capitalism is the screwing over of someone else as you enrich yourself. What's so wrong with that? For America, the recent housing catastrophe that greatly enriched the already super-rich and screwed over the underclass, while blaming that underclass and excusing the real promoters of the entire debacle in the process is just business as usual. As a red-blooded, flag-waving American, I say WOO HOO for business. Clearly, this whole problem is the fault of the non-business minded borrower who was naive enough to listen to the loan-hawker who, wearing a big howdy-doody smile, encouraged the public to come on in for a loan to buy their dream house. People should know enough to shun all advertisements and stay far away from home builders hawking their goods.

Sure, these Wall Streeters knew very well that they were operating a Ponzi scheme, but they also knew three other very important things: the majority of the public doesn’t really understand economics and personal finance, the scheme was going to make them filthy rich and that, since capitalism has always been about the raping of the underclass for the benefit of the super-rich, the political system would bail them out and blame the underclass for being stupid enough to be victims of their criminal enterprise. This is all just more of what has come to be known in America as “good business.” If you are in a position to know something that allows you to screw over those who don’t, you go for it and let society clean up your mess while you catch some rays and count your winnings on the beach in Cancun.

David is absolutely correct in his comment. We shouldn’t be blaming the poor unscrupulous business owners and shady finance dealers for their victims fates. Not in a capitalist society where that is actually the goal of the game being played. My only problem is that we don’t allow capitalism to fully blossom from criminal enterprise. I mean, to extrapolate a tad on David’s thought, we also shouldn’t blame drug dealers for their victims fates, nor bank robbers for their victims fates. After all, this is America! We’re a predatory capitalist society; and the essense of capitalism is the screwing over of someone else as you enrich yourself. What’s so wrong with that?

For America, the recent housing catastrophe that greatly enriched the already super-rich and screwed over the underclass, while blaming that underclass and excusing the real promoters of the entire debacle in the process is just business as usual. As a red-blooded, flag-waving American, I say WOO HOO for business.

]]> By: David http://dissidentvoice.org/2007/08/paying-for-the-mortgage-mess/#comment-4455 David Fri, 24 Aug 2007 03:28:48 +0000 http://www.dissidentvoice.org/2007/08/paying-for-the-mortgage-mess/#comment-4455 Were the people in this article forced into a loan contract at gunpoint? Where has individual responsibility gone? Hello, but if offered similar terms, I would refuse. The Cannizzaro's are profoundly stupid. Were the people in this article forced into a loan contract at gunpoint? Where has individual responsibility gone? Hello, but if offered similar terms, I would refuse. The Cannizzaro’s are profoundly stupid.

]]> By: rosemarie jackowski http://dissidentvoice.org/2007/08/paying-for-the-mortgage-mess/#comment-4437 rosemarie jackowski Thu, 23 Aug 2007 22:42:27 +0000 http://www.dissidentvoice.org/2007/08/paying-for-the-mortgage-mess/#comment-4437 Alan...thanks for this article. Too many in the media place the blame on the individual home owner. This crisis is similar to what happened in the 70s. Then many mid-west family farmers lost their farms. That is still having a negative impact on the whole country. Now much of our food supply has to be imported - what a strategic mistake for the usa. Then as now, all we have to do is to follow the money and see who has benefited from this mess. Alan…thanks for this article. Too many in the media place the blame on the individual home owner. This crisis is similar to what happened in the 70s. Then many mid-west family farmers lost their farms. That is still having a negative impact on the whole country. Now much of our food supply has to be imported – what a strategic mistake for the usa. Then as now, all we have to do is to follow the money and see who has benefited from this mess.

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