All you LEFTIES out there.....when your NEXT check is less........

[kydonky]

Yep get rid of the lifelong politicians. Who do you think pushed for subprime lending? You think a banker decided hmmm I'm gonna take a huge risk on some idiot who I know can not make this mortgage.

Yes!!......A banker/CEO in Louisville Kentucky based Providian Financial saw that he could charge over 30% interest issuing subprime credit cards. I attended the meeting when this plan was anounced. All of the projections were based on how much interest would be charged. I thought that day that this was a high risk gamble. 18 months latter bankrupcy.

They forgot one basic rule. Its not how much you charge, it's how much you collect.

The Big Mortgage brokers followed this model. Subprime loans with high rates (and fees, poinst etc.) but they added the fact that they would not retain the risks and sell these mortgages as securities, thus the great resession and financial meltdown of 2008.

Politicians did not push subprime lending (they did not stop it either). It was the major mortgage companies Countrywide, BOA, etc. They made their money in the fees and origination then they sold them to AIG, Leman Bros, Fannie Mae, Freddy Mac. There were no regulations to oversee bundling mortgages as securities.

So YES!!!!! More than one banker decided to put investors money at risk to boost their bonusess, heck it was only play money anyway.

[Devils Horse]

Yes!!......A banker/CEO in Louisville Kentucky based Providian Financial saw that he could charge over 30% interest issuing subprime credit cards. I attended the meeting when this plan was anounced. All of the projections were based on how much interest would be charged. I thought that day that this was a high risk gamble. 18 months latter bankrupcy.

They forgot one basic rule. Its not how much you charge, it's how much you collect.

The Big Mortgage brokers followed this model. Subprime loans with high rates (and fees, poinst etc.) but they added the fact that they would not retain the risks and sell these mortgages as securities, thus the great resession and financial meltdown of 2008.

Politicians did not push subprime lending (they did not stop it either). It was the major mortgage companies Countrywide, BOA, etc. They made their money in the fees and origination then they sold them to AIG, Leman Bros, Fannie Mae, Freddy Mac. There were no regulations to oversee bundling mortgages as securities.

So YES!!!!! More than one banker decided to put investors money at risk to boost their bonusess, heck it was only play money anyway.

Wrong as usual.

Barney Frank and affirmative action were huge factors. Read the whole article. Mr. Frank insisted Fannie and Freddie were in groovy shape back when the Bush admin was trying for tighter regulations.

Frank's fingerprints are all over the financial fiasco - The Boston Globe

[jcb]

Wrong as usual.

Barney Frank and affirmative action were huge factors. Read the whole article. Mr. Frank insisted Fannie and Freddie were in groovy shape back when the Bush admin was trying for tighter regulations.

Frank's fingerprints are all over the financial fiasco - The Boston Globe

My wife was a mortgage loan underwriter for a large bank in Lexington during the housing boom. She came home one day and told me that the feds had visited the bank's management and slapped them around for not making what they considered to be an acceptable number of mortgage loans to low-income and minority borrowers. They threatened all sorts of dire implications unless the bank relaxed its lending guidelines. The rest is history.

[Devils Horse]

My wife was a mortgage loan underwriter for a large bank in Lexington during the housing boom. She came home one day and told me that the feds had visited the bank's management and slapped them around for not making what they considered to be an acceptable number of mortgage loans to low-income and minority borrowers. They threatened all sorts of dire implications unless the bank relaxed its lending guidelines. The rest is history.

Nothing like first hand proof.

Any comments from the left?

[kydonky]

Wrong as usual.

Barney Frank and affirmative action were huge factors. Read the whole article. Mr. Frank insisted Fannie and Freddie were in groovy shape back when the Bush admin was trying for tighter regulations.

Frank's fingerprints are all over the financial fiasco - The Boston Globe

For every OP/ED article that points to the Community reinvestment act of 1977 as the source of the subprime leanding crisis there are two that point to banking decisions for the collapse. The 1977 act only required banks from declining loans based soly on geographic location of property.

Much of the evidence supporting the 1977 Reinvestment act only had a minimal impact on the housing collapse is that the overal forclosure rate in areas that were onced redlined properties were no higher than the general forclosure rate. The subprime mortgage collapse was widedspread and involved most all types of loans, from $1,000,000.00 properties to $35,000.00 starter homes.

The fact that Fannie Mae and Freddy Mac purchased these subprime loans and there by encouraged making these loans is true. However, much of the risks were not disclosed by the institutions making these loans. Inaccurate appraisals, undocumented finacial statements at origination and ARM mortgages that would be unmanigable based on maximum rates.

Banks and large mortgage brokers saw an opportunity to make big $$$ in origination fees and points and simply wrote as many loans as they could with as little effort as possible. Over 90% of subprime loans were sold as securities. The Mortgage brokers made their money in the origination fees.

[GeoFisher]

For every OP/ED article that points to the Community reinvestment act of 1977 as the source of the subprime leanding crisis there are two that point to banking decisions for the collapse. The 1977 act only required banks from declining loans based soly on geographic location of property.

Much of the evidence supporting the 1977 Reinvestment act only had a minimal impact on the housing collapse is that the overal forclosure rate in areas that were onced redlined properties were no higher than the general forclosure rate. The subprime mortgage collapse was widedspread and involved most all types of loans, from $1,000,000.00 properties to $35,000.00 starter homes.

The fact that Fannie Mae and Freddy Mac purchased these subprime loans and there by encouraged making these loans is true. However, much of the risks were not disclosed by the institutions making these loans. Inaccurate appraisals, undocumented finacial statements at origination and ARM mortgages that would be unmanigable based on maximum rates.

Banks and large mortgage brokers saw an opportunity to make big $$$ in origination fees and points and simply wrote as many loans as they could with as little effort as possible. Over 90% of subprime loans were sold as securities. The Mortgage brokers made their money in the origination fees.

You know........you throw out facts about million dollar houses being foreclosed....that is TRUE....but the cold hard fact is the average price of a foreclosed house in KY in 100k. In Indiana, it is 103k.

The FACTS are this........the CRA allowed folks who should never purchase a house to PURCHASE a house.

the CRA was and IS bad legislation. Simple. Fannie and Freddie are bad ideas....SIMPLE.

Getting a loan for a house should be hard......SIMPLE.

Later,

Geo

[kydonky]

Wrong as usual.

Barney Frank and affirmative action were huge factors. Read the whole article. Mr. Frank insisted Fannie and Freddie were in groovy shape back when the Bush admin was trying for tighter regulations.

Frank's fingerprints are all over the financial fiasco - The Boston Globe

Just in today! Bank of America to spend 10 Billion $$$$ to settle mortgage claims steming from their purchase of Countrywide Mortgage Co. They will purchase back loans they sold to the government that did not meet standards at the time of origination (in otherwords risky loans not properly written).

How is this wrong as usual??

[Devils Horse]

Just in today! Bank of America to spend 10 Billion $$$$ to settle mortgage claims steming from their purchase of Countrywide Mortgage Co. They will purchase back loans they sold to the government that did not meet standards at the time of origination (in otherwords risky loans not properly written).

How is this wrong as usual??

BOA bought Countrywide, a huge player in the mortgage business who also known for 'risky' loan practices. They were applauded by DC politicians at the time. Fannie and Freddy which everyone knows is controlled by DC politicians bought these risky loans en masse from Countrywide/BOA and resold them as investments.

You really believe they innocently purchased a trillion in loans without knowing the score?

Then the collapse, after which fannie and freddie became government complete entities for intents and purposes. US attorneys then sued BOA.

The 10 billion is government shark repellent money for BOA, their stock has actually gone up since the settlement.

[kydonky]

BOA bought Countrywide, a huge player in the mortgage business who also known for 'risky' loan practices. They were applauded by DC politicians at the time. Fannie and Freddy which everyone knows is controlled by DC politicians bought these risky loans en masse from Countrywide/BOA and resold them as investments.

You really believe they innocently purchased a trillion in loans without knowing the score?

Then the collapse, after which fannie and freddie became government complete entities for intents and purposes. US attorneys then sued BOA.

The 10 billion is government shark repellent money for BOA, their stock has actually gone up since the settlement.

You have to read the whole article.

The mortgage settlements just keep coming. On Monday morning, Bank of America said it reached an agreement to resolve virtually all existing and future claims that it (and mortgage lender Countrywide, which BofA bought in 2008) misrepresented the quality of home loans it sold to Fannie Mae from 2000 through 2008. In the deal, Bank of America is paying $3.6 billion in cash and is also repurchasing about 30,000 mortgages for $6.75 billion. That money all goes to Fannie Mae.

The reference to poloticians applauding them at the time stems from the idea that BOA would be taking one of the "Bad Actors" out of the business. Countrywide was notorious for writing sloppy loans. Bank of America got a raw deal in that it's purchase of Contrywide has cost it $$$$$$$$$$$$ and more $$$$$$$$$ if fines a penalties assessed to the Countrywide portion of their business. Still in spite of the fines and penalties they have been able to make profit.

The artcle and settlement speaks for itself, loans were misrepresented and sold to Fannie Mae. There was no mandate to write bad loans, that is all urban legand, pure Bull Carp. If there was a mandate by law they followed the law and would not be fined. They were fined for writting and selling loans with misrepresentation.

The equal rights act only required that loans could not be denied based on race and the Community reinvestment act only prevented loans being denied based on geographic location.

If you give these Banks a pass for their behavior then you should not complain for bailing them out.

[GeoFisher]

You have to read the whole article.

The mortgage settlements just keep coming. On Monday morning, Bank of America said it reached an agreement to resolve virtually all existing and future claims that it (and mortgage lender Countrywide, which BofA bought in 2008) misrepresented the quality of home loans it sold to Fannie Mae from 2000 through 2008. In the deal, Bank of America is paying $3.6 billion in cash and is also repurchasing about 30,000 mortgages for $6.75 billion. That money all goes to Fannie Mae.

The reference to poloticians applauding them at the time stems from the idea that BOA would be taking one of the "Bad Actors" out of the business. Countrywide was notorious for writing sloppy loans. Bank of America got a raw deal in that it's purchase of Contrywide has cost it $$$$$$$$$$$$ and more $$$$$$$$$ if fines a penalties assessed to the Countrywide portion of their business. Still in spite of the fines and penalties they have been able to make profit.

The artcle and settlement speaks for itself, loans were misrepresented and sold to Fannie Mae. There was no mandate to write bad loans, that is all urban legand, pure Bull Carp. If there was a mandate by law they followed the law and would not be fined. They were fined for writting and selling loans with misrepresentation.

The equal rights act only required that loans could not be denied based on race and the Community reinvestment act only prevented loans being denied based on geographic location.

If you give these Banks a pass for their behavior then you should not complain for bailing them out.

AND most of those bad loans were because the GUBMENT made them write them due to the CRA.

What do you not get about this?

Banks have been evil since the dawn of time, but in decades past, the GUBMENT hasn't told them that they must load money to bad risks......then comes along the Democratic sponsored and supported CRA....

Now we have a silly mess all created by nosy gubment.......

Later,

Geo

[Hlleonard]

Progressive flat tax, and ZERO deductions.

No housing deduction.
No kid deduction
No earned income credit
No college deduction

NONE.

Anyone making under 20k NO taxes
Anyone making 20k - 40k 10% taxes
Anyone making 40k - 100k 20%taxes
Anyone making 100k - 500k 25% taxes
Anyone making 500k and above 30% taxes.....

And then maybe a 10% consumption tax on all goods except for food.........

NO TAX on anything else......PERIOD.

Later,

Geo

--
Doesn't this look a lot like what we have now?.. I'm surprised you would advocate a larger percentage tax rate for folks at the top... Would your proposal also include folks whose income is primarily capital gains as that would seem to double their tax rate... I have never given any consideration to a flat tax proposal because everybody wants to get rid of the irs totally and collect the taxes as a national sales tax of some kind and that just seems wrong to me to put more of the tax burden on folks who can least afford it... I never did understand the 'earned income credit' it seems to me it is mostly wasted tax dollars.

[GeoFisher]

--
Doesn't this look a lot like what we have now?.. I'm surprised you would advocate a larger percentage tax rate for folks at the top... Would your proposal also include folks whose income is primarily capital gains as that would seem to double their tax rate... I have never given any consideration to a flat tax proposal because everybody wants to get rid of the irs totally and collect the taxes as a national sales tax of some kind and that just seems wrong to me to put more of the tax burden on folks who can least afford it... I never did understand the 'earned income credit' it seems to me it is mostly wasted tax dollars.

the rates of tax are not as important as the progressive nature of the tax and the ELIMINATION of deductions.

I'm not advocating paying more, I used this as an example of a fair, progressive tax. I don't think someone making 10,000 and someone making 10,000,000 have the same ability of paying tax. A 30% hit of 10,000 is nearly impossible to deal with ........a 30% hit of 10,000,000 is not so tough. I UNDERSTAND that.

For capital gains, I'd have a required minimum to be taxed as income.....I don't know what that would be but it would be a specific number......

I still believe that folks at the top of the food chain spend a crap ton of money on services, and product that significantly help support everyone else. THEY still need to to have significant incentives to invest their money versus hoarding it. Imagine if the warren buffets of the works said SCREW it and took their trillions out of the market and SAT on it instead of investing it.

People need to get over the fact that some people are filthy rich.....once you GET OVER THAT, and work on your own house, and work on your OWN issues, it is amazing what will get accomplished. I don't dwell on what anyone makes....I dwell on what I MAKE and how I will make a better life.

Finally, your point of shifting the burden to folks that cannot pay it is CRAP.....if they can afford a cell phone and pay 100 bucks/month for that service, they can pay 100 bucks/month for TAXES.......Every American should be required to pay federal income, medicare, and ssi taxes...PERIOD.

Later,

Geo