Anyone switching to a credit union with what's going on?

[J T]

The banks knew these loans were high risk though. It's their business to determine who gets a loan and who doesn't based on actuarial predictions of risk. They wouldn't normally give out so many subprime loans if they hadn't worked out a whole scheme of how to play the mortgages on the market to reduce that risk to themselves. They lumped the mortgages into CDOs and mortgage backed securities, they somehow managed to get these things AAA security ratings despite being bundled garbage (likely some corruption in the regulating bodies here), and then by dispersing their credit risk across investors they were able to replenish their funds enough to go back and create more subprime loans, more CDOs, and repeat the process until it inevitably collapsed. They knew these people would default on their loans, but they didn't care because they could push the risk out of the bank and into the market. Really, Wall Street should be protesting Wall Street as well. Many of the people that lost the most money were investors that got bamboozled in all of this. I've certainly seen my retirement funds and those of the people around me just get tanked. The overall economy has been hurting too, which now has the 99% screaming unfair, even though a lot of this really started to go down about 4-5 years ago.

[Hatta]

Both cases point to the fact that without a huge amount of money you're always at risk of financial ruin

Yes, we should fix this. This is why civilized countries have social safety nets.

I'd argue it was the average consumer who drove the country into the ground. The banks just facilitated it.

Then you're just ignorant. Banks have a responsibility to check up on the information they get from their loan applicants. If they don't, that's fraud. If they resell that unverified loan and pass it off as a high quality security, that's also fraud.

It's not like the banks didn't know this was happening. In 2004 the FBI testified before Congress that 90% of stated income loans were fraudlent, and Congress informed the banks of this. In response, the banks INCREASE the number of "liar's loans" they issued.

Now think about this. We're talking about average people taking out loans they can't afford. How much do they know about the mortgage system? Are 90% of people savvy enough to think that they can get away with falsifying their income? If they know that much about the system aren't they going to know enough to understand what happens when you take a loan you can never pay off?

Do you really think it's more likely that 90% of these individuals, acting alone, would choose to knowingly commit fraud in ways that could not possibly work out in their favor? Or is it more likely that the entire industry colluded to commit fraud, because they stood to make a lot of money and stood to lose absolutely nothing? Good god man, what world do you live in?!

For a perspective from an actual expert in bank fraud, check this out. Here are some choice bullet points:

Lenders:
* Knew from the beginning that the liar’s loans would cause (net) catastrophic losses
* Soon learned that the loans were endemically fraudulent
* Could have stopped the endemic fraud, “adverse selection,” and “negative expected value” at any time by engaging in prudent underwriting, but instead
* Rapidly expanded their issuance of liar’s loans after they knew the loans were endemically fraudulent
* Sold the fraudulent liar’s loans through fraudulent “reps and warranties.”

If that's not criminal racketeering, nothing is.


Edit: corrected 2006 to 2004.

[o.pwuaioc]

http://www.readersupportednews.org/opin ... s-cheating

In other words, why should we let banks get away with what we could never get away with.

[MrPopo]

http://www.readersupportednews.org/opin ... s-cheating

In other words, why should we let banks get away with what we could never get away with.

Based on that article the people are occupying the wrong place. They should be protesting in DC. As an officer or shareholder in one of these companies I would be livid if they DIDN'T take advantage of all the loopholes the government has put in place.

[o.pwuaioc]

http://www.readersupportednews.org/opin ... s-cheating

In other words, why should we let banks get away with what we could never get away with.

Based on that article the people are occupying the wrong place. They should be protesting in DC. As an officer or shareholder in one of these companies I would be livid if they DIDN'T take advantage of all the loopholes the government has put in place.

Not everyone subscribes to assholery.

[Hatta]

Still defending these criminals, Popo? Pathetic.

[o.pwuaioc]

http://www.readersupportednews.org/opin ... s-cheating

In other words, why should we let banks get away with what we could never get away with.

Based on that article the people are occupying the wrong place. They should be protesting in DC. As an officer or shareholder in one of these companies I would be livid if they DIDN'T take advantage of all the loopholes the government has put in place.

Not everyone subscribes to assholery.

And I mean that as nice as possible. You've self-proclaimed yourself amoral, and I doubt that very many people here would agree with such a stance.

[Hatta]

It wouldn't be so bad if he were actually just amoral. An amoral, self-interested, member of the lower 99% would advocate for positions that benefit the lower 99%. What we have here is completely unprincipled authoritarianism.

[J T]

Just saw this posted by someone over at gog.com

Police cracked down on Occupy Oakland -- war zone in the US:

http://www.youtube.com/watch?v=QngE6kKk8Lg

http://www.youtube.com/watch?v=wlPs-REyl-0

http://www.youtube.com/watch?v=4_Y2qZxKDWg

http://www.youtube.com/watch?v=bytMNoKNeRA

http://www.youtube.com/watch?v=3lCHioHaznw

http://www.youtube.com/watch?v=RZubytrF9WM

http://www.youtube.com/watch?NR=1&v=1NJXEsXlw7Q

NOT reported in the US . Media blackout.

[Inazuma]

Just saw this posted by someone over at gog.com

Police cracked down on Occupy Oakland -- war zone in the US:

http://www.youtube.com/watch?v=QngE6kKk8Lg

http://www.youtube.com/watch?v=wlPs-REyl-0

http://www.youtube.com/watch?v=4_Y2qZxKDWg

http://www.youtube.com/watch?v=bytMNoKNeRA

http://www.youtube.com/watch?v=3lCHioHaznw

http://www.youtube.com/watch?v=RZubytrF9WM

http://www.youtube.com/watch?NR=1&v=1NJXEsXlw7Q

NOT reported in the US . Media blackout.

Thanks for posting this.