>>”While we’re certainly not encouraging this, if the numbers were to grow substantially, it would provide leverage to get servicers to be more proactive in offering modifications, particularly principal-balance reductions.”<<
Hey, how about reducing MY principal? What a fool I was, when I:
* Bought a house I could afford
* Paid as promised (actually better, since I overpay to reduce principal faster)
* Saw it as a place to live, not an investment. I never took a dime of equity out.
I am not saying these all apply for the instant case, but heck, why don’t I qualify for principal reduction?
Answer: Liberalism rewards bad decisions and punishes (or ignores) good ones. It this cultivates those bad decisions, thus turning them into good ones (from an outcome perspective).
There's your problem. You weren't running up your cards on the anticipation of cash-out refi and you weren't sending dollars to China so that they could turn around and finance our federal debt with them.
* Bought a house I could afford
* Paid as promised (actually better, since I overpay to reduce principal faster)
* Saw it as a place to live, not an investment. I never took a dime of equity out.
I am not saying these all apply for the instant case, but heck, why don’t I qualify for principal reduction?
Answer: Liberalism rewards bad decisions and punishes (or ignores) good ones. It this cultivates those bad decisions, thus turning them into good ones (from an outcome perspective).
I hear your frustration. Hubby and I are just ignoring what everyone else and doing our own thing. At least *we* know that we walk with honor.
Four years ago we qualified for bankruptcy. We'd been stupid and put ourselves in debt up to our ears. One night we sat down with the numbers and had "the talk". We decided, together, that we'd find a way to honor our debt.
It isn't easy, but neither of us has regretted our choice for a minute. In another four years, we'll own our land free and clear, have a healthy savings account and have no other debt.
What hacks me off is that people like us get the opposite of reward. It's like the credit companies find out who's actually paying, then try to milk those people for every dime they can get.
I can't wait until we're no longer playing this stupid game! :-)