I guess Bank of America is going to be begging for a taxpayer funded bailout after they give all these mortgages to people who can't afford to pay...

[The Duke]

It's a shame that government regulations harm competition and help the big banks.

It's a shame there's so much crony capitalism in America.

 

[Toddsterpatriot]

Do you have a link that shows that other 6% plus interest? Forget about preferred stock sales--the US treasury does not delve into the stock market--that one doesn't fly.

Do you have a link that shows that other 6% plus interest?

Bailout Tracker

ProPublica is still tracking where every dollar of taxpayer money from the 2008 bailout of the financial system has gone. See for yourself.

projects.propublica.org

$109 billion profit to date!

That's a pretty cool site.
Lot's of detail.
Take a good long look. Some banks failed and never repaid, but net, TARP turned a profit.

Forget about preferred stock sales--the US treasury does not delve into the stock market--that one doesn't fly.

You don't know much about TARP. They got preferred stock and warrants.

These funds were not given as grants. Treasury received preferred stock or debt securities in exchange for these investments. Most financial institutions participating in the CPP pay Treasury a five percent dividend on preferred shares for the first five years and a nine percent rate thereafter. In addition, Treasury received warrants to purchase common shares or other securities from the banks at the time of the CPP investment. The purpose of the additional securities was to enable taxpayers to reap additional returns on their investments as banks recover.

Capital Purchase Program Overview

The Capital Purchase Program (CPP) was launched to stabilize the financial system by providing capital to viable financial institutions of all sizes throughout the nation. Without a viable banking system, lending to businesses and consumers could have frozen and the financial crisis might have...

home.treasury.gov

 

[The Duke]

It's a shame that government regulations harm competition and help the big banks.

I agree.

 

[Toddsterpatriot]

It's a shame there's so much crony capitalism in America.

Yeah, it's awful.

 

[Ray From Cleveland]

These race based loans that are doomed to fail are just the democrat's latest attempt to dismantle the US economy and relegate this once-great nation to third world status.

The last crash started with race based loans and that's what got us into trouble.

 

[The Duke]

Do you have a link that shows that other 6% plus interest?
View attachment 692496

Bailout Tracker

ProPublica is still tracking where every dollar of taxpayer money from the 2008 bailout of the financial system has gone. See for yourself.

projects.propublica.org

$109 billion profit to date!

That's a pretty cool site.
Lot's of detail.
Take a good long look. Some banks failed and never repaid, but net, TARP turned a profit.

Forget about preferred stock sales--the US treasury does not delve into the stock market--that one doesn't fly.

You don't know much about TARP. They got preferred stock and warrants.

These funds were not given as grants. Treasury received preferred stock or debt securities in exchange for these investments. Most financial institutions participating in the CPP pay Treasury a five percent dividend on preferred shares for the first five years and a nine percent rate thereafter. In addition, Treasury received warrants to purchase common shares or other securities from the banks at the time of the CPP investment. The purpose of the additional securities was to enable taxpayers to reap additional returns on their investments as banks recover.

Capital Purchase Program Overview

The Capital Purchase Program (CPP) was launched to stabilize the financial system by providing capital to viable financial institutions of all sizes throughout the nation. Without a viable banking system, lending to businesses and consumers could have frozen and the financial crisis might have...

home.treasury.gov

And in what way is that not a partial government takeover of damn near every mortgage that defaulted? No we don't need government housing, we need private property ownership.

Do you not see the conflict of interests there?

 

[The Duke]

Yes, a lot bigger.

Small banks can't afford the expensive regulations that were added after 2008.

And how's them regulations doing on keeping housing prices good?

 

[The Duke]

To be honest, what did the banks stand to lose?

The banks lost hundreds of billions in 2007-2010.

The people lost more in 2007-2010.
You have no idea how many terrible stories I've heard from people.

Lost homes, jobs, some lost everything they had.

Many good businesses had to close down.

 

[Admiral Rockwell Tory]

It's more of the Cloward-Piven strategy. They have that tactic downpat, so do the RINOs.

Republicans have NOTHING to do with the Cloward-Piven strategy. I doubt you could even explain what Cloward-Piven strategy is!

BTW, "downpat" is not a word. Learn to use spellcheck, please!

 

[The Duke]

Republicans have NOTHING to do with the Cloward-Piven strategy. I doubt you could even explain what Cloward-Piven strategy is!

BTW, "downpat" is not a word. Learn to use spellcheck, please!

Fuck off, hosehead.

"the “Cloward-Piven Strategy” seeks to hasten the fall of capitalism by overloading the government bureaucracy with a flood of impossible demands, thus pushing society into crisis and economic collapse."

The goal is to overload the government financially and topple it, then institute that Communist Utopia.

Discover the Networks

An Online Database of the Left and its Agendas, a Guide to the Political Left

www.discoverthenetworks.org

You were saying?

So you're saying Mitt Romney wasn't involved with Fanny Mae, faggot?

 

[Toddsterpatriot]

And in what way is that not a partial government takeover of damn near every mortgage that defaulted? No we don't need government housing, we need private property ownership.

Do you not see the conflict of interests there?

We need a lot less government involvement in the mortgage market.
They only fuck things up.

 

[Toddsterpatriot]

And how's them regulations doing on keeping housing prices good?

Prices would be lower if Biden stopped letting millions of illegal aliens come across the border and stay.

 

[Toddsterpatriot]

The people lost more in 2007-2010.
You have no idea how many terrible stories I've heard from people.

Lost homes, jobs, some lost everything they had.

Many good businesses had to close down.

Some people lost. That's what happens when bubbles burst.
Banks lost too. Just awful.

 

[Dragonlady]

I see no downside.

Loan people ALOT of money who cannot afford to save enough for a down payment.

Of course they can afford to maintain the home and all the payments.

The bald fact is that they're already doing that. That's what rent and utility payments are.

As a former bank manager and mortgage specialist, I like this idea. They're loaning to people with good income, and a good payment history. What the borrowers don't have is savings and equity. They're loaning on income and character, not collateral. Most mortgage lending is based on collateral first, then income and character. the emphasis is important.

The greater concern here is employment stability. In a recession, hour rated low wage workers would be the first to be let go. Low wage workers are the first to be let go, the last to be hired back, and the ones to receive the least amount of public money to keep them going.

They also have little in the way of savings to fall back on, so any illness, unexpected addition to the family (now that abortion is a less likely option), or plant closure leaves them vulnerable. I would expect higher losses than for those with higher down payments, but only because these people have more resources available to them to get them through, but I don't expect the gloom and doom you're forecasting, given that they're working with borrowers of high character and stable employment.

 

[The Duke]

Prices would be lower if Biden stopped letting millions of illegal aliens come across the border and stay.

I never really considered that aspect, but you do have a point there.

 

[The Duke]

Some people lost. That's what happens when bubbles burst.
Banks lost too. Just awful.

Fuck Banks.

 

[Concerned American]

Do you have a link that shows that other 6% plus interest?
View attachment 692496

Bailout Tracker

ProPublica is still tracking where every dollar of taxpayer money from the 2008 bailout of the financial system has gone. See for yourself.

projects.propublica.org

$109 billion profit to date!

That's a pretty cool site.
Lot's of detail.
Take a good long look. Some banks failed and never repaid, but net, TARP turned a profit.

Forget about preferred stock sales--the US treasury does not delve into the stock market--that one doesn't fly.

You don't know much about TARP. They got preferred stock and warrants.

These funds were not given as grants. Treasury received preferred stock or debt securities in exchange for these investments. Most financial institutions participating in the CPP pay Treasury a five percent dividend on preferred shares for the first five years and a nine percent rate thereafter. In addition, Treasury received warrants to purchase common shares or other securities from the banks at the time of the CPP investment. The purpose of the additional securities was to enable taxpayers to reap additional returns on their investments as banks recover.

Capital Purchase Program Overview

The Capital Purchase Program (CPP) was launched to stabilize the financial system by providing capital to viable financial institutions of all sizes throughout the nation. Without a viable banking system, lending to businesses and consumers could have frozen and the financial crisis might have...

home.treasury.gov

Your first cut and paste is not a link--it also says and I quote, "Recipients of aid through TARP's housing programs (such as mortgage servicers and state housing orgs) received subsidies that were never intended to be repaid, so we don't mark those as losses."
How kind of you to give away tax payer dollars and then deny the losses.

 

[Concerned American]

$109 billion profit to date!

You seem to have skipped over a bundle of negative outstanding bailouts--CIT Group, BofA/Countrywide Mtg., Nationstar, Florida Housing, First Horizon, CITI Mortgage, and a lot more. They count as well--not just what is highlighted in red. The taxpayers ended up paying much of that bill and no amount of partisan covering up is going to change that fact.

 

[Ray From Cleveland]

if you dont get these bums in this housing, how will democrats manage to create new slums

Biden and Dems Are Set to Abolish the Suburbs | National Review

If suburban voters knew what the Democrats had in store for them, they’d run screaming in the other direction.

www.nationalreview.com

 

[Indeependent]

Biden and Dems Are Set to Abolish the Suburbs | National Review

If suburban voters knew what the Democrats had in store for them, they’d run screaming in the other direction.

www.nationalreview.com

NYS Governor Hochol is working on bringing the slums into the suburbs.