Posted on 02/24/2011 6:45:55 PM PST by Nachum
This morning news broke that the White House is pushing a big, $20 billion global settlement to end the foreclosuregate mess.
There's one surprising thing. The market is taking this to be an actual punishment of the news. Our presumption would be that any settlement would somehow end up being a positive, but maybe a punishment is a punishment...
The market is down, but the big banks, like Bank of America (down over 2.3%) are getting hit much wors
(Excerpt) Read more at businessinsider.com ...
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Is this the Government paying the banks to forgive loans on forclosure risk homes?
Wow, just not make the payment and the Obama cash machine will payoff your mortgage.
Wonder what secret qualifications you have to have to get this preferential treatment?
This is a bailing out the banksters again PING.
I see no jail time mentioned.
No, that isn’t it. The Government is forcing the banks to take drawdowns on the mortgages that they oversold, essentially.
“Under the settlement:
* Banks, not investors, would bear the cost of all writedowns
* There would be no new government programs developed to reduce principal. Rather, the lenders will devise their own modifications or use existing government programs.
* Banks will have to reduce second-lien mortgages when first mortgages are modified.”
Excuse me if I’m suspicious...
“My worry is different. I’m afraid this is really an attempt by banks to get off easy. We do not know what the settlement is supposed to include. But if it includes, for instance, amnesty from put-back claims from investors in mortgage-backed securities, this could be a huge giveaway to the banks. I’ve been saying for months that I accept the government would attempt to avert a put-back apocalypse with some sort of legal forgiveness. Is this it?”
http://www.cnbc.com/id/41764160
Investor’s are really starting to sue and obama was backed by those big global banks...
Investor Lawsuits Are Raising the Heat on Bank of America for ‘Putbacks’
See full article from DailyFinance: http://srph.it/e8zwP7
Kind of a joke on the taxpayers considering...
Unlimited credit for GSEs seen as backdoor bailout
http://www.reuters.com/article/2010/01/05/us-usa-housing-bailout-idUSTRE6044YU20100105
Obamanomics is the destruction of all aspects of society by design. Everything Obama touches turns to excrement. It’s by design.
Tear America down to the ground, and rebuild from the muck in the Socialist vision, and join with the rest of the New World Order no longer protected by American might. This is the goal.
“Wonder what secret qualifications you have to have to get this preferential treatment?”
I suspect what will happen is badly underwater mortgagees where the bank has problems with title will get paid a few thousand bucks (in mortgage reduction) but that will require that they rewrite their mortgage. Voila! The bank now has an original note and trust deed.
Mortgagee defaults two months later and the bank forecloses, this time with no problems.
Somehow, out of this, Obama will end up with a 20 billion dollar slush fund to spend on unions and the losses on the mortgages will be transferred to the taxpayers.
“losses on the mortgages will be transferred to the taxpayers.”
Ofcourse that is how the newly revealed Corporatist sytem the Dummies have been working so hard for works.
Duh, the democrats are against evil Corporations! Don’t you know anything! /s
Sounds about right. People suckered into thinking they are going to get a freebee, when the reality they will lose the home if they are a day late on a payment. THAT is how the banks will deal with this one.
So 2% of the taxpayers monies will solve a trilion Dollar problem?
LOL . . Barf!
Columbia and Harvard math combined...
“Sounds about right. People suckered into thinking they are going to get a freebee, when the reality they will lose the home if they are a day late on a payment. THAT is how the banks will deal with this one.”
Don’t forget about Obama’s buddies. They will walk from this with big money. Obama will walk from it with big dollars or big power of big favors. Nothing like this happens without vig for Dear Leader.
"Government Control!!! ????
Hell, back in 1990, the US Government seized the Mustang Ranch brothel in Nevada for tax evasion and, as required by law, tried to run it… They failed and it closed. Now, we are trusting the economy of our country, the school loan program, our banking system, our auto industry and our health plans to the same nit-wits who couldn't make money running a whore house and selling whiskey?!"
"What the Heck are we thinking??"
OH yeah, Obama is one skillfull shakedown artist>
I don’t understand what this is about.
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