Breaking News!: Homeowners recieve $25 billion mortgage settlement, but is it enough?

Breaking News!: Homeowners recieve $25 billion mortgage settlement, but is it enough?

finance.yahoo.com

The 750,000 qualifying homeowners who lost their homes to foreclosure between 2008 and 2011 can expect to receive a $2,000 check.

(visit the link for the full news article)

This is disgusting...and I'm really shocked this hasn't already made front page.

These jerks running the banks got away with stealing the homes from over 750,000 families and racked up record breaking profits for themselves, and they get off with a $25 billion slap on the wrist!

When they made ungodly more off of the homes?

What the heck happened to making an example out of the scumbags screwing us over?

This would be the equivelant of telling Bernie Madoff "hey, give back a thousand bucks and you can keep the rest!"

We took your house...here's $2000? Does this even sound right?

What's even worse is since the government decided to take the lawsuit instead of allowing the citizens that were effected to proceed, now they have absolutely no chance of being reembursed for what they should be!

They should have been fined what they took and then some! All this has done is enabled the idiots running the banks!

Why would they stop if they know there's no repercussions for their actions?

Since when is paying a fraction of what you took even concidered making amends for your crime? There are criminals still rotting in prison for less!

I don't usually get this worked up over things like this, but I am truely shocked that this is the state of the country I live in. I am sick of the american people being treated like subhuman by the banks and corporations lining our politician's bankbooks.

For the first time in my life I can honestly say, I am ashamed to say I live here knowing my tax dollars are only furthering the problem...

finance.yahoo.com
(visit the link for the full news article)

reply to post by mutatismutandis


the simple answer is what would happen to you if you brought fraudulent documents to a judge or a court,
the implications on an individual would include
costly legal bills
time off work
travel expenses
court fines
imprisonment,

and for a base fee of $2000 DOLLARS all this goes away for the corperations.

$16,000,000,000,000 dollars cost to taxpayers,
5 million or more houses at stake (no numbers held???????) we dont even know how BIG THIS IS potentially!!!!!

so is $2000 dollars enough?
what is the criminal costs if you did it?
let alone the fact that this BUYS imunity

WTF

this allows the banks to REDOCUMENT,
it puts the banks BACK IN CONTROL of morgages they havve already SOLD as MBS.

THEY GET CONTROL OF YOUR MORGAGE BACK AND THEY HAD ALREADY SOLD THEM,

this is madness

xploder

Simple reason they did this is so that no one else could take the banks to court because it has already been settled. Also, it looks good for the general reader who doesn't think about what they read. They will see it as "Finaly, the banks are getting punished, and by Obama!".

Two birds with one stone, the banks are happy because they get off near scot free (considering the amount they should have to pay back) and members of the public will be happy because it seems as if he is taking a stand against the banks.

Sickening, but that's how shyte works.

sorry, double post

It is disgusting.....let me explain.

For those who got the pie in the sky loans for houses the banks knew they couldn't afford but were forced to finance because of government coersion...bull%^&*...they should get nothing.


But people who bought within their means then became disabled or lost their jobs, but the banks refused to work with them to refinance ...is $2000 really fair? The government told the bank to work with people who were having trouble with payments and they ignored them, then took the houses...$2000 for a house?

Am I missing something? The maths doesn't seem quite right. According to my calculator, 750,000 X $2000 = 15 billion. Where'd the other 10 billion go? Lawyers fees? Government cut?

Originally posted by LightSpeedDriver
Am I missing something? The maths doesn't seem quite right. According to my calculator, 750,000 X $2000 = 15 billion. Where'd the other 10 billion go? Lawyers fees? Government cut?

It has a breakdown in the article of where the rest of the funding went, like consumer protection and other bull but that's what was allocated to the ones effected the most.

They've done damage probably over 5 times that amount. A victory for the banks, some of these men should honestly be burned at the stake.

www.democracynow.org...

This link has Obama's opinion on it, a couple esteemed financial analysts and some attorney generals

Yves Smith, a longtime financial analyst who runs the popular finance website, "Naked Capitalism." "The settlement, on the surface, does look like it’s helping homeowners," Smith says. "But, in fact, the bigger part that most people don’t recognize is the way it actually helps the banks with mortgages on their own books... The real problem is that this deal is just not going to give that much relief."

i feel like banks should all be dissolved they are nothing but legally thievery

It's a lollipop for a severed limb.
Sometimes a small victory makes big difference and typically I find that motto applicable, but not here. This is disgusting. It was false hope for real relief from those who are victims of criminal activity against them. Obama can take a flying leap for the second time IMHO. Once for signing the NDAA and now for not ensuring that these people were compensated in a way that saves them from being homeless and the house going right back to the criminals that should be prosecuted harshly.

reply to post by XPLodER


I think you hit the nail on the head there...that's the scariest part of all this, they've made this decision before ever even finding out how far this all goes!

Banks, mortgage companies, realtors, appraisers and home builders all jacked up the price of housing artificially to line their pockets. It was straight up fraud that created a bubble which has brought this country to it's knees. $25 billion isn't squat. Until they write down all mortgages between certain years there is no restitution and nothing will really get the engines going on the economy.

Originally posted by kosmicjack
Until they write down all mortgages between certain years there is no restitution and nothing will really get the engines going on the economy.

I know you are not talking about actually "giving these mortgages away" to those homeowners and writing them off their books as bad debt or losses?

reply to post by Laserjock


As opposed to giving away the money to the banks? Surely I must be crazy. Really though, they participated in fraud, I'm just saying the mortgages should be valued at a rate comparable to prior to the bubble.

Originally posted by mutatismutandis
reply to post by XPLodER

 

I think you hit the nail on the head there...that's the scariest part of all this, they've made this decision before ever even finding out how far this all goes!

No you are wrong - they know exactly how far it goes. If they were to follow the red letter of the law then a huge percentage of the title's that has been transferred in the last 15 years would have to be invalidated.

Rather than admit to the public what is going on and put everyone's actual home ownership into question they have come up with this BS settlement that will attempt to hide it all. They also know the banks potentially face huge liabilities from lawsuits, and the federal government simply cannot afford to bail out one of the major banks.

The banks are blackmailing everyone into letting them get away with the most heinous financial crimes ever by simply stating the world economy will blow up if they don't get their way. It's going to happen soon anyway, because they have gone way to far for it to be stopped.

reply to post by proximo


I'm sure they know how far it goes, I ment the public knowing... but your right, the cycles just gonna start all over and this time there's nowhere to hide.

Originally posted by kosmicjack
reply to post by Laserjock

 

As opposed to giving away the money to the banks? Surely I must be crazy.

Really though, they participated in fraud, I'm just saying the mortgages should be valued at a rate comparable to prior to the bubble.

edit on 12/2/2012 by kosmicjack because: (no reason given)

Ok...understood. You don't know how many people I have heard actually saying they should forgive the mortgages for these folks...and as hard as times may be for some, that is just ridiculous. I lost my job in Nov 2010 for 3 months and the last thing that ever crossed my mind was that the govt or bank should be compensating me in some manner so I could keep our house.

I still think some of these people that signed on to these ARMs that were on the borderline of their financial means have to carry some accountability in the whole deal. People do the same with cars and have them repossessed all the time but I dont see people all up in arms over that.

reply to post by Laserjock


I agree that those that took the loans knowing they couldn't afford them should be held resposible for their own debt. Its the bulk that should never have even been forclosed on in the first place that's rediculous with this. This is basically 750,000 homes the bank just got for $2000 a piece from people that were current on their payments to begin with.

Ok...understood. You don't know how many people I have heard actually saying they should forgive the mortgages for these folks...and as hard as times may be for some, that is just ridiculous. I lost my job in Nov 2010 for 3 months and the last thing that ever crossed my mind was that the govt or bank should be compensating me in some manner so I could keep our house.

if you have ever heard of a scam you will understand what i have to say,

the mark (person looking for morgage) meets the scam artist (bank agent)
the mark provides documents that show he is "unfit" for a loan but wants one,
the scam artist fraudulently "adjusts" the figaurs (fraud) to allow the loan so he gets paid a bonus.

the mark moves into his house and over the course of ten years pays of an amout equal to the loanned amount,
but still ows due to interest on the morgage.

the bank the scam artist works for "pacages and sells" the "rights to service" the loan,
commonly called a MBS (morgage backed security) into big pools of morgages.

so the mark has paid equal to the amount borrowed minus interest,
the bank has been paid the back the back original amount it loaned minus interest,

but the bank haas ALSO sold the morgage to hedge funds and retierment funds ect

so the banks have been paid "twice",
then if the bank forcloses it gets to sell the property again.

when the scam works perfectly people blame the individuals who took the loans NOT THE FRAUD THAT allowed the loans to be SOLD.

so if there was a mecanism designed to sell crap morgages to "share the loss around"
M.E.R.S. (morgage electroinc registery service)
allowed them to "flip" these morgages for future mbs and resale,

now if the banks never intended to keep the morgages how is it that they sold them and now have to produce "fraudulent" robosigned documents to get the morgage back?

because the scam artists set up the mecanism many years before the first "sub prime loan was made"

you blame the wrong people and make it easyer for the REAL scam artists to get of scott free.

i realise this gets complicated fast, but trust me,
you set up the "hussel" before you introduce the "marks"

hope this helps
its not the fault of the borrower if the loaner ingauges in fraud knowing it will "blow up" on some one else.

dont be a scam artists best friend and blame the marks

xploder