The Bailout: Wall Street Vs. Main Street

Oct 02, 2008 00:42

Long rant behind the cut!

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Comments 11

It's un-American... dakini_bones October 2 2008, 09:30:56 UTC
to expect people to take responsibility for themselves!

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Re: It's un-American... kielbasa_007 October 2 2008, 14:50:49 UTC
very...

So there were immigrant families in DC that bought a house, couldn't pay, and then booked it out of the country. No shit, we went to see the houses. Anything that could have been ripped out-- was.

Here is the (not so) funny thing. They left oweing the bank anywhere from $250-$500 thousand dollars (or more). And now the bank cannot collect as the people have LEFT THE COUNTRY.
So the bank owns their house, the same bank owns two or three more in the neighborhood as well.

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Re: It's un-American... kielbasa_007 October 2 2008, 22:23:57 UTC
Somehow I doubt they knew the cost. They may not have understood an adjustable rate mortgage.

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lifeofglamour October 2 2008, 13:46:46 UTC
ON the other hand, what are you going to do to get the money out of people who are in foreclosure? Sure, they bought more than they could afford and that was stupid. But say they are being foreclosed on because they lost their job, they have no savings (cuz people who buy more house than they can afford tend not to have much foresight to begin with). What are you going to do? Ensure that the amount they are now liable for hangs over their head for the rest of their lives - garnish their wages, thereby diminishing their interest in applying for anything other than low-wage or under the table jobs? Deny them student loans so they can never improve their earning capacity, and thereby never pay back the loan? Refuse them credit so they're pretty much fucked for starting over again anywhere ( ... )

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lifeofglamour October 2 2008, 16:07:37 UTC
I agree - I don't like it one bit, but I don't like the idea of a return to debtor's prison or indentured servitude either. Those banks made a calculated risk on people they KNEW weren't going to be able to repay. I think there's plenty of blame to go around, and in the end we'll all be screwed any direction this goes. :-(
Ugh.

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