[70th Division]

The banks made a killing forclosing on properties because Fannie and Fredie paid the banks more than the house was worth. Without those two the bank would have had to take back the property (probably trashed) and at 1/2 of what the mortgage was. What a racket.

[org.whodat]

Smartest post here, plus the fed will loan them the money at zero interest forever, to pay this. The banks will just borrow an additional several billion at zero interest and then buy more bogus federal bonds, paying 4%, damn what a racketed. The tax payers pay it no matter how you deal it.

[Eagle of Liberty]

Fannie and Fredie paid the banks more than the house was worth. Without those two the bank would have had to take back the property (probably trashed) and at 1/2 of what the mortgage was.

And add this to what the O administration already gave Fannie and Freddie to the tune of $170 BILLION in bailout funds.