Posted on 02/25/2010 2:06:19 PM PST by GreaterSwiss
Edited on 03/02/2010 11:33:56 AM PST by Admin Moderator. [history]
Like what happened to GM's bond holders, huh?
Unfortunately it is much more underhanded than that.
Here is what is happening. Obama offered the “voluntary” HAMP program to banks. This program offered the banks taxpayer money to modify troubled loans. To get the “free money” the banks eagerly invested in infrastructure to gear up to do as many of these HAMP modifications as possible. Now, if the banks don't do what Obama wants, he will simply pull the plug on the HAMP program and the banks will take a bath on the money they spent to gear up to get the “free money” from the feds. Obama has the banks between a rock and a hard spot. Obama is making the rules, and playing the banks like fools. It is the classic bait and switch. He gets the banks to buy in under one set of rules, and then changes them. Bingo. No law needed.
What was that number of loan modifications Bank of America did? Something like 19 out of 300,000 loans in default.
okie01 ~ It's obvious. Obama simply doesn't understand that.
I think he knows exactly what he is doing.
He is deliberately destroying the US economy.
In general, the HAMP program is way,way behind what Obama said it would do in terms of loans modified. Therefore he has to force it to be “successful” no matter what damage it does to the banking system or the economy as a whole.
If you made prudent decisions and did not buy more home than you could afford, you get to pay for the people that did not.
This is what happens when a fool stumbles into an accidental presidency. I’ve always wondered what would happen if a homeless person were made president for a day. Now we know.
You’d think he would wait at least 24 hours after saying “I’m an ardent believer in the free market” before trying to break all private business contracts.
WTF
Who does this guy think he IS, the King?!?!
Screw you Obama!
I left off the point that this is all part and parcel of Obama’s belief that wealth should be redistributed from those that have it to those that don't.
Actual full title:
“His Excellency President for Life, Field Marshal Al Hadji Doctor Barak “Idi” Obama, VC, DSO, MC, Lord of All the Beasts of the Earth and Fishes of the Sea, and Conqueror of the British Empire in Africa in General and the United States in Particular.” Plus “The Last King of Scotland, Hawaii, and Chicago.”
Well, there goes contract law right out the window. Good thing I’m in Family Law, I guess.
Get in line. I'm still waiting for a pony.
LOL...you're bad!
Cool.
You said a mouthful.
The banks contributed greatly to the current economic problems. They made poor decisions and we are paying for them thru the taxes and through the bailouts.
Govt had a significant role in encouraging those poor decisions.
With the spending and communist tilt of our current administration I think the banks having to carry bad loans is the least of our problems.
Of course not. Some animals are more equal than others.
“Obama May Ban All Foreclosures”
He thinks he was elected dictator.
Unless some recent legislation has given a president this power I don't think he can do this.
I don't think most lenders want foreclosures. If they need to sell a portfolio of property that's worth half the value of the mortgages, they are in as deep doo-doo as the homeowner. If not deeper. This may be another case of Zero unwittingly doing the bidding of his masters.
Disclaimer: Opinions posted on Free Republic are those of the individual posters and do not necessarily represent the opinion of Free Republic or its management. All materials posted herein are protected by copyright law and the exemption for fair use of copyrighted works.