[Always Right]

Another factor contributing to the mess was the urging of the mortgage industry by the Feds to engage in 'creative financing' to accommodate almost anyone who was able to sign the documents.

The biggest problem was the mortgage funds that were used to finance these loans. Banks would take the risk of these types of loans, so they packaged them up into funds and sold them to investors as safe investments backed by mortgages with high yields. Of course, these subprime borrowers were anything but safe.

[DB]

And with all the “repackaging” they can’t even identify who actually holds/owns the mortgage...