My Predictions Have Come True In Part

[richpo64]

>>I wouldn't have to pay my mortgage?<<

And theeeen?

[R.R.]

That's not a bad idea Brass. I'm just thinking out loud here, but if the government has to spend money why not give a tax credit for people's mortgages? Or help them restructure their mortgages. Anybody who took out an ARM mortgage could restructure that mortgage to its original rate BEFORE it adjusted and make it fixed for 30 years at a rate that they could actually afford. I have no idea how much this would cost, but maybe it would be less than $700 billion. I'm sure banks would take a loss on it in some instances. But rather than bailing out banks, I would rather see the American people bailed out. It would kind of be like a tax cut. Wouldn't it be nice to see your mortgage payment go down? If people could actually afford the mortgages that they took out, there would be less foreclosures and less homes on the market.

[sirs]

Yea, I would be (paying EVERYONE's mortgage)     

You're going to be paying someone else's ANYWAY!!!  What's the DIFF?

The "diff" is that it's only those who are in trouble to begin with, which is bad enough.  You were appearing to want some blanket payment of everyone with a mortgage?  No?  And again, it's only in bailing out the questionable assets of the mortgage lenders, not paying off every one of thier homes.  Again, BIG "diff"

The diff would be that Bush says that it is a good idea to pay those mortgages with a $1Trillion check to Paulson?  What a dumbass.

Well, Brass seems to have brought his Saturday game with him   

[Brassmask]

That's not a bad idea Brass. I'm just thinking out loud here, but if the government has to spend money why not give a tax credit for people's mortgages? Or help them restructure their mortgages. Anybody who took out an ARM mortgage could restructure that mortgage to its original rate BEFORE it adjusted and make it fixed for 30 years at a rate that they could actually afford. I have no idea how much this would cost, but maybe it would be less than $700 billion. I'm sure banks would take a loss on it in some instances. But rather than bailing out banks, I would rather see the American people bailed out. It would kind of be like a tax cut. Wouldn't it be nice to see your mortgage payment go down? If people could actually afford the mortgages that they took out, there would be less foreclosures and less homes on the market.

I actually thought that would be a better idea but when I was typing it, I felt like it was going to be taken as sarcastic and/or tongue in cheek.

Even if they specifically worked with people who were at risk of foreclosure or had been foreclosed on and I got nothing, I would be much more  in favor of that than handing a Trillion dollars to the corporations.

If the money was used to re-structure/bail out homeowners, the initial intent (Clinton's "everyone own a home" thing and Bush's "Ownership society") would be honored and the only people who would be screwed would be the ones who placed the bets that the mortgages would never be paid.

[_JS]

it's only in bailing out the questionable assets of the mortgage lenders

And why should we do that?

[sirs]

Asked and answered already....to help prevent the collapse of so many home mortgages.  And if you'll recall, I'm not keen on the idea either, but at least I can understand why it was done

[_JS]

Asked and answered already....to help prevent the collapse of so many home mortgages.  And if you'll recall, I'm not keen on the idea either, but at least I can understand why it was done

And if they collapse? Why is this the answer?

Whether you're keen on it or not is irrelevant...you support it.

[sirs]

Asked and answered already....to help prevent the collapse of so many home mortgages.  And if you'll recall, I'm not keen on the idea either, but at least I can understand why it was done

And if they collapse? Why is this the answer?

So, all those mortgages going under mean....nothing to you.  Well, good.  Welcome to the dark side of advocating responsibility & accountability, for one's own actions.  Js, the new Conservative

Whether you're keen on it or not is irrelevant...you support it.

Um, no, I don't.  I simply referenced that i understood why they're doing it

[Xavier_Onassis]

Asked and answered already....to help prevent the collapse of so many home mortgages.  And if you'll recall, I'm not keen on the idea either, but at least I can understand why it was done

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What is a collapse of a home mortgage?

It is to prevent the collapse of banking and insurance companies that approved bad mortgages. The mortgage is a loan. Either you pay it off or the owner of the mortgage gets the house. If the lender is not a total moron, the house is worth more than the amount due on the mortgage.

The problem is that the lenders ARE total morons.They lent zero-down money on ARMs that were far in excess of the value of the property. Thanks to Head Moron in this fiasco Republican Phil Gramm, these ghastly mortgages were bundled and fraudulently sold to bank after bank and everything was fine until the ARM went into Usury status and the mortgage holder, having no job and no way to refinance, had to split and leave the dolt who ended up with the mortgage with a property that was worth only a fraction of the amount of the loan. It is a typical failure of unregulated capitalism that mass failures of trust occur at regular intervals. One has only to see that this has happened many, many times before.

[sirs]

Xo seems to have me confused with someone who supports what the lending institutions did

[_JS]

So, all those mortgages going under mean....nothing to you.  Well, good.  Welcome to the dark side of advocating responsibility & accountability, for one's own actions.  Js, the new Conservative

1. I told you that I'm not a liberal.

2. I don't think you understand how the financial markets work. These debts are bought and sold. They are investments and I have little sympathy for Lehman Brothers for investing so heavily in subprime tranches. Their choice. You think those guys gave a damn when Maggie starved the miner's in '84-85? When the US industrial sector collapsed in the 80's? Not on your life. When GM or Ford cuts tens of thousands of jobs - do the guys at Lehman Brothers and like companies go home and pray for $700 billion bailouts and lose sleep over those folks' livelihoods? Not likely.

3. So yeah, it is their responsibility for their own ridiculous investment schemes. So why is your President and Treasury Sec. pushing so hard for this crap deal?

[Xavier_Onassis]

3. So yeah, it is their responsibility for their own ridiculous investment schemes. So why is your President and Treasury Sec. pushing so hard for this crap deal?
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They seem to believe, as Princess Leia once did with regard to Obie Wan Kenobi, that this is their only hope.

Juniorbush has an MBA, but I think he slept through his macroeconomics class. Paulson, being a wealthy former investment banker, sympathizes with the lenders and their companies.

I agree that they deserve to be left high and dry. However, we are being told that not bailing these vermin out will cause no one to lend money to anyone, and that in turn will cause the financial structure to collapse, since everything depends on confidence in the ability of the borrower to pay the lender back with interest.

That is what we are told. We are also told that to deny the morons that decided to peddle these bogus mortgages their golden parachutes and bonuses would be a "deal breaker". I have yet to understand why this is so.

Could it be because so many Republican (and possibly Democratic) congressmen are beholden to these jerks that they will vote against its passage unless their pals get their freebies?

[sirs]

So, all those mortgages going under mean....nothing to you.  Well, good.  Welcome to the dark side of advocating responsibility & accountability, for one's own actions.  Js, the new Conservative

yeah, it is their responsibility for their own ridiculous investment schemes. So why is your President and Treasury Sec. pushing so hard for this crap deal?

ASKED and ANSWERED already, to help stave off the connected mortgage failures of countless mortgages, across the country, with the potential for forclosures across the states. 

And you missed out a key component to the problem.  No one put a gun to anyone's head and said "you have to take this questionable really cool initial low ARM, no money down, mortgage.  So, no, you're not going to pin this on "Big Mortgage".  This has equal shares of blame for all parties, including the borrowers & the Fed, with the failure of the SEC to better demonstrate oversight on the larger lending institutions.  And, IIRC, there were policies that allowed Lending institutions, to simply say "no" to would be borrorowers, who had very poor pay back ability and credit ratings, but the Fed, in its infinate wisdom, did away with such a policy, citing it inappropriate, unfair, something along those lines.  That they had to make a legitimate effort to help make loans happen to those same foils. 

Again, blame for everyone, not just AIG or Lehman Brothers

[Xavier_Onassis]

ASKED and ANSWERED already, to help stave off the connected mortgage failures of countless mortgages, across the country, with the potential for foreclosures across the states.


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ANSWERED mostly incorrectly if this is all you said.

Unless this plan allows for the renegotiation of rates and payment schedules, there will be no difference in the foreclosure rate. This is not a plan to save the homeowners, but the bankers and insurers, predominantly, so they can continue to process and buy and sell mortgages and other lending instruments.

[sirs]

With much greater Federal oversight, and the stability brought back to the lenders, in order to get this home purshasing train back on its rails, and help keep the economy from collapsing.  You advocating a cessation of all further home buying??

and no, I don't support it either, simply I understand why they did it