The chickens have come home to roost

[local 12 proud]

Because many of these lenders couldn't care less. Many of them would make the loan, bundle them, and sell them to another servicer. Then, in many cases after that, those 2nd servicers would repackage them as securities and sell them to investors with shoddy rights upon foreclosure (e.g. A judge in OK recently ruled that the securitization pool did not actually attach to the foreclosed properties).

So, in short, many of those original lenders were not left holding the bag!

Why don't you just call it what it really is, a Ponzi scheme! :blink:

 

[Gilding the Lily]

Why don't you just call it what it really is, a Ponzi scheme! :blink:

caveat subscriptor

 

[local 12 proud]

caveat subscriptor

True enough, funny how those warnings are always in fine print.

 

[North by Northwest]

Why don't you just call it what it really is, a Ponzi scheme! :blink:

BINGO!

You WIN the no money down, no credit check, no work history mortgage!

 

[Gilding the Lily]

True enough, funny how those warnings are always in fine print.

Do you know what else is funny. Countless studies have been done (and I am sorry I do not have a link) that have shown that people reading contracts are more likely to skip over boldfaced, capped language as compared to standard font text. I wonder if they are more likely to read fine print as opposed to the bold faced print?

 

[local 12 proud]

I have absolutely ZERO, Nada, sympathy for the credit card companies (Banks) or the Idiots who live beyond their means and spend like there is no tomorrow. what pisses me TFO is that as usual another Government bailout (Tax payer, you and me) will be left holding the bag.

SAN FRANCISCO — Americans are falling behind on their credit card payments at an alarming rate, sending delinquencies and defaults surging by double-digit percentages in the last year and prompting warnings of worse to come.

Many economists expect delinquencies and defaults to rise further after the holiday shopping season.

Economists also cite America's long-standing attitude that debt — even high-interest credit card debt — is not a big deal.

"The desires of consumers to want, want, want, spend, spend, spend — it's the fabric of our nation,"

http://www.foxnews.com/story/0,2933,318132,00.html

 

[local 12 proud]

BINGO!

You WIN the no money down, no credit check, no work history mortgage!

This year's housing bust is shaping up to be one of historic proportions. Sales and construction have sunk to levels not seen since the 1990 savings and loan crisis, while foreclosures and price drops are the largest since the Great Depression — and expected to get worse next year.

Unprecedented Real-Estate Meltdown?