Over the last two years of the housing bubble, Wall Street bankers perpetrated one of the greatest episodes of self-dealing in financial history.
Faced with increasing difficulty in selling the mortgage-backed securities that had been among their most lucrative products, the banks hit on a solution that preserved their quarterly earnings and huge bonuses:
Attached are two complaints that clearly explain what happened in this foreclosure mess that is ruining our country and causing immense misery. These are excellent resources for understanding how Wall Street investment banks were simply predatory middlemen who scammed not only American families, but also insurance companies and global investors (including pension funds, municipalities, 401K funds, etc).
The good thing about these two complaints is that the allegations.… Continue
Added by L on August 31, 2010 at 3:00am —
Quote "First, they're sinking more money into their underwater homes with the hope that they can reach an affordable solution with their lender, a solution which this official implicitly admits IS NOT COMING. Second, the official is incorrect, at least according to information I've been told by borrowers.... When a borrower accepts a…
As some of you know, I have been sending out emails roughly every six to ten days for the last few weeks. L suggested I post here, which I though was a great idea. The drive behind this, is we all really need to help one another! If you are working or cannot afford to attend, it is safe to say we all understand that situation. But if at all possible, please make every effort to attend each others hearings and whatever court proceedings possible. It will… Continue
Added by Incognito123 on August 27, 2010 at 4:30pm —
While comparing the current financial maelstrom to food safety might be a stretch – it does give one insight as to the responsibility of the branches of our government to ensure the safety and security of
“We the People” (WTP).
Isn’t that what our hard earned tax dollars are used for?
*** Americans do not want to worry about the safety of the food we eat. Indeed food safety is something we take for granted. But who assures this safety?…
You see, I saved up money to join the board of Realtors. I wanted to try and earn a living (perhaps) selling property. If you were to guess that a majority of the business out there these days in real estate is short sales and foreclosures... you'd be correct.
But according to the board I need to find out who the "lender" is in order to conduct a short sale.
This requires searching public record and finding the lien holder…
I found the following comment by 'mike' at the end of a WSJ article regarding judges giving debtors 'free houses'.
What the borrowers, lenders and the legal system have forgotten, is that a “mort” “gage”, ie “death gamble” is a two way contract. When one boils it down to basics (extracting all the legalese and terms of interest etc.) it is a bet between two parties on a future event, the death of the borrower or the death of the lender.
I could use the input from not only everyone here on FH, but anyone reading this blog. For purposes of this illustration, you are person A.
1) Person A goes to Person B and asks to borrow $1000. 2) Person B makes the decision, yes, writes up a contract which says person A will repay . . . $100 a month for twelve months, and if they ever default, Person B can take their car . . . valued at $1,200 (but they pay for friend to evaluate it and that… Continue