**NBC: More Bank Failures on the Way!!!!!!**

[DividedThigh]

Originally Posted by RandyWayne

First off, I do agree that there has been a lot of predatory-type lending on the part of many or most mortgage companies. While it always existed ever since the first bank came into being, the bulk started in the 90's as HUD rules forced Real Estate and mortgage banks to advertise and serve everyone -to the point where it was considered discriminatory for a billboard showing high end house to be placed an in affluent neighborhood unless it was also displayed in the slums somewhere. When this happened, lo and behold, business increased! The rapid rise in home prices allowed banks to lend to ANYONE, regardless of their credit history. Now we have people defaulting on ARM loans that have not even adjusted to their higher payments. Do THESE people need to be bailed out?

I agree that the banks share much fault... but the "little man" who cannot even make his LOWER payment (and should have been denied a loan in the first place) is equally to blame. Then there are all the idiots who trash their homes before moving out..... We have seen PLENTY of these since were currently house hunting in the Phoenix valley right now.

One last thing. Who has more power to bring down the country? The banks somehow "working together" or the government?

be careful randy the libs will come after you, speaking to much truth and common sense, lol,dt

[ChristopherHall]

Originally Posted by RandyWayne

Can you imagine how much this economy would have been talked UP had a democrat been in office the past 4 years?

Dude, the economy wouldn't be being talked up. This isn't about politics, its about greed and corruption. Frankly, both sides have had their hand in it.

[Jack Shephard]

Originally Posted by RandyWayne

Can you imagine how much this economy would have been talked UP had a democrat been in office the past 4 years?

Good call OB1. LOL I think that the libs tend to get the benefit of the doubt at times. JMO. I am not defending the Cons either. Both are due the good words and bad critisizm.

[Digging4Truth]

Originally Posted by RandyWayne

One last thing. Who has more power to bring down the country? The banks somehow "working together" or the government?

The banks control the government.

We were warned:

" If the American People ever allow the banks to control the issuance of their currency, first by inflation and then by deflation, the banks and corporations that will grow up around them will deprive the people of all property, until their children will wake up homeless on the continent their fathers occupied. The issuing of money should be taken from the banks and restored to Congress and the people to whom it belongs."
-Thomas Jefferson

We failed to listen.

Others knew the power of controlling the currency of a nation:

"Let me issue and control a nation's money, and I care not who writes its laws"
- Meyer Rothschild (1743-1812)

The Federal Reserve is neither Federal nor it is a reserve of any kind.

It is a privately owned bank and has no reserves of any kind. When it wants to make money it prints the money... out of thin air... from nowhere... and charges you full face value for it... even our own government.

[RandyWayne]

Good points, but the government could always do away with the Feds. They WON'T but they technically could.

Also, I was also referring more to tax policy then fiscal. Throw in energy policy for good measure.....

The government could effectively end this recession by slashing capital gains (which dramatically increases economic activity) and aggressively drilling for oil -which in turn would have the effect of popping the price-per-barrel bubble.

[originalsecretplace]

Originally Posted by RandyWayne

First off, I do agree that there has been a lot of predatory-type lending on the part of many or most mortgage companies. While it always existed ever since the first bank came into being, the bulk started in the 90's as HUD rules forced Real Estate and mortgage banks to advertise and serve everyone -to the point where it was considered discriminatory for a billboard showing high end house to be placed an in affluent neighborhood unless it was also displayed in the slums somewhere. When this happened, lo and behold, business increased! The rapid rise in home prices allowed banks to lend to ANYONE, regardless of their credit history. Now we have people defaulting on ARM loans that have not even adjusted to their higher payments. Do THESE people need to be bailed out?

I agree that the banks share much fault... but the "little man" who cannot even make his LOWER payment (and should have been denied a loan in the first place) is equally to blame. Then there are all the idiots who trash their homes before moving out..... We have seen PLENTY of these since were currently house hunting in the Phoenix valley right now.

One last thing. Who has more power to bring down the country? The banks somehow "working together" or the government?

I'm not sure that the banks are working togther but they are all taking advantage and digging for money where ever they can. The government works for the "big money" wherever it is -- doesn't it? It doesn't really represent "the people". I'm not sure if it ever did -- really.

They'll always be people defaulting on loans. But according to what I've read the banks like to extend credit to the people with bad credit because they make alot of their money from fees -- interest, late fees, NSF, etc. The banks write off bad loans the same as any other business. The problem is they got so greedy they managed to over extend themselves. Now it's time to pay the piper, I guess.

Is it true that the law for bankrupt (chapter 11?) was changed to really benefit the lendors?

I'm Canadian so I don't know about all the problems in the US economy or how they came about except for what I've read or heard. We have some banks in Canada that got hit in the pocket book with the sub-prime stuff and inflating the cost of a home so they could lend more money in the US. Here we don't have that situation although the credit card companies charges outrageous interest rates.

I've also read about credit card companines in the US targeting students.

We've had problems with payday loan companies lately. They are being investigated for what amounts to loansharking.

All in all I think credit is too easy to get even in Canada. I remember 20 years ago when you could hardly get a card with a $500 limit but know they are gving out thousands of dollars if you give them a name and phone number.

[RandyWayne]

We've had problems with payday loan companies lately. They are being investigated for what amounts to loansharking.

What??? 300-1000 percent interest loans is considered loan sharking? Hell HAS indeed frozen over!

[scotty]

I live in Goshen,




enough said.

[ChristopherHall]

Originally Posted by RandyWayne

First off, I do agree that there has been a lot of predatory-type lending on the part of many or most mortgage companies. While it always existed ever since the first bank came into being, the bulk started in the 90's as HUD rules forced Real Estate and mortgage banks to advertise and serve everyone -to the point where it was considered discriminatory for a billboard showing high end house to be placed an in affluent neighborhood unless it was also displayed in the slums somewhere. When this happened, lo and behold, business increased! The rapid rise in home prices allowed banks to lend to ANYONE, regardless of their credit history. Now we have people defaulting on ARM loans that have not even adjusted to their higher payments. Do THESE people need to be bailed out?

I agree that the banks share much fault... but the "little man" who cannot even make his LOWER payment (and should have been denied a loan in the first place) is equally to blame. Then there are all the idiots who trash their homes before moving out..... We have seen PLENTY of these since were currently house hunting in the Phoenix valley right now.

One last thing. Who has more power to bring down the country? The banks somehow "working together" or the government?

Randy…..

My wife and I are fighting to keep our home. Thank God we don’t have an adjustable rate mortgage. We have a standard fixed rate mortgage and when we began dreaming the American dream we could easily afford a home. It was only another $120 a month compared to renting. Logic was…why not put our money into building equity? So we bought a home and times were actually going quite good.

But the cost of living increased exponentially for us. Our gasoline bill is four times what it used to be. For many families their health insurance premiums have gone through the roof. Wages are not rising to meet rising costs of living or inflation and so money isn’t going as far as it used to. The fallout in the housing market caused our home’s value to drop so significantly we owe more on our current loan than our house is worth.

Many folks are being swept away in the rising tide of rising cost of living compounded by negative equity through dropping home values. In many cases folks will actually save money by defaulting and loosing their homes. They look to either be bailed out or to give it back to the bank and cut their family’s losses.

Some of them had financial plans that were just blown out of the water. If you would have told me gasoline would be $4 a gallon in 2008 back when I bought my home I would have laughed you to scorn. A lot of these people defaulting on their loans didn’t plan for the economy to get this bad. After all…so many folks like Ferd promised them everything would be cool. LOL

[DividedThigh]

once again the wind bloweth, emphasis on the bloweth, lol,dt