Posted on 07/17/2014 3:59:19 AM PDT by Neidermeyer
we do realize that banks and institutions were forced at the point of a gun to write bad loans, right?
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Make the CRA argument all you want , it doesn’t hold water ,, the CRA areas largely were skipped in the ponzi meltup , the desirable areas were pumped up, not the slums..
The truth is that deregulation coupled with the banks discovering that they could game the system and profit from KNOWN BAD LOANS drove the scam. Creating a bubble , insured many times over in their favor , was something they all took part in.
That happens more than you might think...
Thanks for all your explanations. Interesting racket.
To expand on that just a little bit ...
The “loans” were usually paid for initially from a credit line NOT from the bank or lending company that is named as the lender on the consumers paperwork.
Not only is shelf funding completely illegal as it “de facto” predatory lending , breaking all the federal consumer protection laws but it breaks the chain of title right at the start as the seller of the loan isn’t who is listed on the paperwork.
The loan paperwork was never surrendered (as is legally required for a trust) to the trusts , instead they got spreadsheets ... the trust never paid for the loans (another failure) , they were just given various duties and a comission.
The banks that actually funded the loans insured them and they WANTED bad loans that would FAIL ,, it was a “The Producers” scheme from the beginning , however they found a way to insure the loans a minimum of 3x face value (title ins. , fannie / freddie , private mortgage ins. , portfolio ins. (AIG etc.) ...
It’s past time to get mad .. the banksters are getting $85B a month from us , that’s $1T a year because they’re too big and important to fail... when it was their plan to fail and collect.
We , even those of us not caught up in the initial crisis , are victims of the banks massive fraud ,, because the policies meant to help the banks are gutting the land title system (by encouraging and allowing the filing of known blatantly false documents to show ownership) and devaluing our money ...
“The Republicans are the stupid party. The Democrats are the evil party. Sometimes they get together and produce something that is both stupid and evil, and they call it ‘bipartisanship’.”
Boy that really sums it up.
Here’s a case where BOA forclosed on a house that was bought with cash and never had a mortgage:
Reverse Foreclosure: Man Seizes Bank of America’s Assets -
http://www.consumerismcommentary.com/reverse-foreclosure-man-seizes-bank-of-americas-assets/
Glad he had the money for lawyers.
After what happened to my friend, I am very curious about the title industry.
Is there anything even like a clean title anymore?
Good question.
MERS (Mortgage Electronic Registration System) seems to been designed to faciliate mortgage title fraud
It speaks to the loss of one fundamental necessary for a free society - property rights.
Just going to “second” the MERS is evil response .. by making transfers anonymous and undocumented your title is worth NOTHING.
There is a VERY GOOD reason why all the properties sold post-foreclosure are given a “special” warranty deed that basically leaves you with no protection... The title industry knows that nothing is provable anymore.
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