Ok guys so what the heck are we going to do about this bail out?
If you had the power for 24 hours what would you elect to do?
I would spend my 24 hours tracking down every single mortgage lender that stamped "APPROVED" on that piece of paper that gave people loans that they KNEW they couldn't afford....not sure what I'd do with each one but I'd track them all down none the less and decide my punishment.
If you have $5 and the Starbucks coffee you want cost $6.....guess what!!! You can't afford it....and don't let the Starbucks representative talk you into thinking you can afford it neither.
I think a large part of the issue what that many borrowers lied about their income in order to qualify, so while we blame the banks (and we should because, come on, who doesn't verify income when loaning money?!?) many of the borrowers don't have much of a right to complain.
ReplyDeleteAnyway, to your point, do you realize that $700 billion is more than enough to bring current every single mortgage in the country that's in default? Seems to me that's a better place to spend the money than giving it to investment banks as a bailout in return for warrants to buy stock. Non-voting stock at that! Stupid, stupid, stupid. If they do decide to bail out, it should be in return for real, live, preferred stock. If banks choose not to participate, let them fail.
There are so many to blame for the situation we are in. The banks and the idiots who applied for the loans knowing they couldn't afford the house they were buying.
ReplyDeleteA lady on the news yesterday said instead of bailing out the companies, the gov't needs to give the individuals that money to pay their own mortgages."
Why?
What about those like you and me who are working hard to pay the mortgages they secured sensibly? Why should the idiots that KNOWINGLY got in over their heads get a free ride?
If it were up to me, and I had the power to fix this...I guess I would just let it go. Let whatever is going to happen happen. The mentality of people in this society stinks. Someone is always there to bail 'em out. It's about time individuals learn a powerful lesson. Unfortunately, it's putting the ENTIRE economy on shaky ground. Sadly, this country is in such debt that our lenders have no choice but to notice. It's gonna be a sad day when we lose our credit, not just as individuals, but as an entire country.
Shame shame.
:)
I agree with Joe about the $700B. They should take that money and distribute it amongst the taxpayers. MOST people would use that money (after taxes) to pay off their mortgages. That would infuse money into the financial markets, wouldn't it?
ReplyDeleteI don't drink coffee, so right now I'm kinda in shock that people are paying $6 per cup!
Hey Melanie! Happy birthday!
ReplyDeleteKim
It is strange to me but I think people will believe, and clearly have believed what lenders tell them. I was shocked when I got preapproved for a mortgage fresh out of cosmetology school, and the insane amount they were willing to lend me, based on the meager amount i was then making... crazy crazy!!
ReplyDeleteOkay I say don't bail them out, let them fall on their faces and perhaps learn a lesson.
ReplyDeleteI struggle to pay my bills and there isn't anyone aiding us. Oh well, welcome to america, LOL
GREAT allusion with the Starbucks thing.... your little one is just ADORABLE!
ReplyDeleteI think of it like a parent. When my kids make mistakes, sometimes I have to let them suffer the consequences. They have to learn their lesson. I don't always bail them out!!
ReplyDeleteHell...I know I struggle too! Can someone bail me out!? Me and hubhy work hard everyday to make our mortgage...but no one is lined up to help me out..! Our gvmt REALLY REALLY Stinks!!!!!!
ReplyDeleteYes, go to Dunkin Donuts where it's just as good and 2/3 the price, right? I don't know know what I'd do? These mortgage companies should have had higher standards in my opinion and should be like every other business that can't afford to stay open -- they all don't get bailed out.
ReplyDeleteI agree with joe. It would be nice to see every mortage in default forgiven, but somehow I don't think that greedy Wall Street is going to let that happen.
I loved Cheryl's analogy...and Joe's comments.
ReplyDeleteI agree with you though and heck, I loved your illustration using Starbuck's. I was shicked at how much the lender said we COULD borrow for a house. Yeah right, no thanks. Not and have any sort of life unless we just did not care about running into more and more debt. There are scads of homes in forclosure here due to buying more house than they could afford. Had to keep up with other folks...it is a sickness! But then, I am old and cranky and menopausal. *grin* What do I know anyhoo!
Love,
Sue
It's a shame that a small number of greedy people could have such an impact on the world's economy.
ReplyDeleteI think I'd recommend bankruptcy. If they didn't want to go that route, then I'd point towards the nearest pawnshop.
ReplyDeleteI would hunt them down and do things I cant share on this blog. I really like your last statement about Starbucks. Very true!!!!
ReplyDeleteMy friend use to work as a loan manager for a very large mortgage company. No education and would be making 150,000 a year. I think this is disgusting.
here's my thoughts....why bail them out, these people knew what they were getting into! I'm having issues with finances and there's no one bailing our asses out!!
ReplyDelete