Mortgage delinquencies a rising threat (to banks financial health).

[rodeodance]

what the heck about the people/families??



http://news.yahoo.com/s/ap/20061212/ap_on_bi_ge/home_mortgages

Mortgage delinquencies a rising threat

By MARCY GORDON, AP Business Writer 1 hour, 4 minutes ago

WASHINGTON - Mortgage delinquency and foreclosure rates are on the rise, and the impact could be greatest on low-income families that took out higher-interest loans for risky borrowers, some experts said Monday.

Treasury Secretary Henry Paulson said the government wants to issue guidelines to banks and savings and loans that will allow people to get home loans "without taking unnecessary risks."

"Expanding opportunities for more people to buy a home is a good thing. But we do not want Americans to become overextended and see their dream end in foreclosure," Paulson said at a conference on the housing market organized by the Office of Thrift Supervision, a Treasury Department agency.

Some experts are concerned that the increase in mortgage foreclosure rates could affect the banking system's financial health.

[teryang]

1. A little late to cure widespread financial corruption isn't it?

The problem is created at the outset, not at the final demise.

A person criticizing the ever expanding and intrusive US penal system which is growing like a cancer, enumerated the systemic problems in our political system, which are neglected or unaddressed, and our defective drug policy. The idiotic rejoinder? We have more prisoners because we have more criminals.

Our banking system is not financially healthy. Neither is our pension system, nor our investment system. The jeopardy was created by corrupt financial practices, such as exporting our capital resources, namely our manufacturing and tax base overseas.

The threat to the US financial system isn't mortgage default or any other kind of default, those are the symptoms that follow the defective policies that created the threat.

These sorts of analyses are almost as stupid as blaming the credit balloon on Americans "because they don't save enough."

[maddezmom]

2. duplicate topic

http://www.democraticunderground.com/discuss/duboard.php?az=view_all&address=102x2648466