How about the morality of having a monetary system where banks get to create $9 dollars for every $1 in “assets” and then you have to pay them back with interest? If banks are stupid enough to make loans to losers and said losers pay, they get huge bonuses and when losers don’t pay they force taxpayers to pay and still get huge bonuses...
If you want to talk about morality, nothing is less moral than our banking system. Screw the banks, every person with and underwater mortgage should default.
I agree with you on the no more intervention for homeowners and banks. However, the Government intervened in the mortgage and banking industry, forcing them to abandon sound credit requirements, for fear of being sued for discrimination. Yes, the banks should have fought back, but if the Government didn’t intervene in the housing/mortgage industry, we wouldn’t be anywhere near the mess that we are in. The concept of a “liar loan”, where there is minimal credit checks/due dilligence came out of FNMA/FHLMC underwriting standards, not the banking industry.