Reply #11: It's getting ridiculous isn't it? [View All]

[CoffeeCat]

Seriously. I want to stand in front of the White House and scream, "REALLY?"

Of course, the media is helping the White House position this as some big
giveaway to the homeowner.

This is a giveaway to the banks. OMFG...I can't even believe this is happening
in our country!

Buried in these articles about this terrific (cough, cough) "program" are details
about how the banks get a windfall. If any bank sold a loan to Fannie and Freddie--
and lied about that loan meeting Fannie/Freddie standards--those banks are now relieved
of any legal liability associated with those loans.

Ok, banks misrepresented loans on a daily basis. This is what they did for years! They
sold mortgages, packaged them into mortgage-backed securities and made a killing. So
many of those securities had bad loans--AND THE BANKS KNEW THEY WERE BAD LOANS
THAT DIDN'T MEET FANNIE/FREDDIE STANDARDS.

So, this "program" relieves banks from HARSH FEES and ALL LEGAL LIABILITIES associated
with defrauding customers and Fannie/Freddie.

This is a FREE PASS and an early Christmas gift to the banks.

I'm guessing the banksters said, "Ok, here's what we want. We want a way that we can be
released from any financial or legal penalties for the fraudulent loans that we schlepped.
We want out. Do what you have to do."

So--the White House gives the banks their little present--and throws in a tiny bone for
the consumers.

So now, if homeowners are underwater on their loans--their payments are reduced.
NOTICE THAT THE TOTAL AMOUNT OF THE LOAN ISN'T DECREASED. The homeowner is still screwed--
owning a home that is worth $200,000--when he owes $240,000 on it. So now, when I'm unemployed
and without health insurance and about to lose my home--I can enroll in a "program" that
enables me to pay $1,000 monthly instead of $1,700--on a home that is worth much less than
I owe.

Wow! What a deal! :sarcasm: It's a deal for the banks--with a piece of stale bread
thrown in for the consumer--and repackaged as a steak dinner for the consumer.

Boy...us 'murkins must have looked realllly stupid and gullible on that ol' 2008 campaign
trail!! Wowee! The nonsense they try to sell us really is pathetic!