US is suing BOA. That's a good start, but.

[bobhawg]

while we are at it, I think, we need to disband Fannie Mae and Fannie Mac and go back to a simple mortgage system. Specifically, anyone applying for a mortgage should able able to pay for it or not get it. Some simple rules of thumb that used to be standard should be brought back. For one thing, a down payment should be required. And any mortgage over 25% of a persons income should not be granted. And then, banks or anyone else who makes a mortgage should service that mortgage and not be allowed to sell it off to a second or third party.

Yes, I know, the result would be fewer homes bought by Americans, tough. Maybe builders would once again build what people could afford instead of what they dream for. And interest rates would be fairly low as few if any would be foreclosed.

Of course the economy would never again run wild like it did in the 30 years before 2008.

But we are either going to learn to appreciate balance and slower growth, or we are flat ass going to be the next Greece. If we are not already.

 

[HookdOnASquealin]

There you go again Bob, sounding like a conservative! Any conservative would probably agree with the majority of what you said, the problem is that we were called racists by the democrats whenever we said that people should be able to actually have the ability to pay for their mortgage.

I like the Dave Ramsey method, if you can't afford it then rent and save money until you can and any mortgage you take out should be no more than 25% of your take home pay and must be a 15-year fixed or less.

 

[bobhawg]

I'm afraid that as as nation, we have lost the ability to take good ideas from the left, the right, and the middle and use them when it is good for us all. We seem locked in this 100% right or wrong concept and it is killing us.

 

[MDVOL]

Bank of Amigo should sue the democrat party. It was Jimmy Carter and a

a democrat Congress that came up with the CRA in 1979 that set the current economic disaster in motion. It was Bill Clinton and his hack A/G Janet Reno that went after banks on RACISM charges if they did not lend mortgages to unqualified Blacks and Hispanics with Fannie Mae and Freddie Mac backing them.
It was Barack Owebama who sued Banks on Behalf of ACORN in 1996 and caused the creation of "Sub-Prime Lending"

democrat party hacks Franklin Raines, Jim Johnson and Jamie Gorelick were put in charge of Fannie and Freddie to hide these idiotic loans and loot $100,000,00 of taxpayer money for themselves.

The homo Barney Frank and Maxine Waters in the House and Chris Dodd in the Senate blocked GOP attempts to investigate the "Sub-Prime" lending years before it came to critical mass and exploded in 2007

BTW, it was Jamie Gorelick(at Hillary Clinton's demand) that put in place the "firewall" that prohibited the CIAS from informing the FBI, the BATF, the FAA, and any other law enforcement agencies about terrorist suspects that might be trying to carry out terrorism inside the US.
Hillary wanted Bill's treason with China and the allowing of Chinese spies at Los Alamos to steal all our nuclear weapons designs in exchange for a few million in "campaign donations)

Hillary and Gorelick caused 9-1-01 as the CIA had tried to inform about several of the terrorists entering the country and were blocked.

Then the FBI was blocked from accessing vias records of the State Dept. to match against suspected terrorists.

All thanks to Hillary and Gorelick.

To keep Gorelick from being forced to testify to the 9-11 commission, democrats put her ON the 9-11 Commission.

 

[bobhawg]

Re: Bank of Amigo should sue the democrat party. It was Jimmy Carter and a

A lot of that has merit, but which Democrat decided to package mortgages as "derivatives" and sell them as investments? I do think that was the banks idea. Actually. I personally feel the original pressure was in fact from the liberal administrations but the banks sure took it and ran with it.

The trouble is the average American family will pay for it.

 

[Ole Hambone]

Re: Bank of Amigo should sue the democrat party. It was Jimmy Carter and a

Originally posted by bobhawg:
A lot of that has merit, but which Democrat decided to package mortgages as "derivatives" and sell them as investments? I do think that was the banks idea. Actually. I personally feel the original pressure was in fact from the liberal administrations but the banks sure took it and ran with it.

The trouble is the average American family will pay for it.

Those sub-prime loans were not segregated into bundles by themselves. They were mixed in with the good loans. IF the underlying loans are good... the derrivatives are good.

Where we really messed up was not risk adjusting the sub-prime loans. The interest rates on those loans should have been higher.... the allow for the higher default rate and they should have been segregated. There should have been bundles of sub-prime loans.

 

[bobhawg]

Re: Bank of Amigo should sue the democrat party. It was Jimmy Carter and a

Valid thoughts Ham. But therein lies one of our problems in this country. That is, how much if any, regulation do we need?
some would say none, but that won't work and too much of course, does a lot of harm all around, so it is a hard thing to have business operate as free of regulation as possible and still protect the consumers.

Your old industry is a good example. Would or could have more regulation prevented this last deadly outbreak from those pain shots? My son is a chemist for Glaxko Smithkline and he has worked mostly in quality control. They do buy medications off the shelves and take it in and inspect it for freshness quality and potency etc. but still occasionally, people get harmed..

My point is, it is hard to regulate business without interfering with their ability to make a profit. But again, I am afraid we have gotten into the line in the sand mentality and refuse to budge from either viewpoint. Surely there was a way to help more Americans afford a home and not get into the mess we did with greed overriding everything. But common sense is lacking today I think.

This post was edited on 10/26 1:24 PM by bobhawg

 

[Ole Hambone]

Re: Bank of Amigo should sue the democrat party. It was Jimmy Carter and a


If Barney Franks and Chris Dodds had neer pushed the idea of home ownership is a right and demanded that the mortgage brokers make those sub-prime loans... we never create the housing bubble and there's no collapse and no recession.

Glass-Stegall didn't cause the problem... the lowering of the standards to qualify for a mortgage is the root of the whole problem.

And the reason consumers bought too much house is because they are conditioned to believe that regulations prevent banks from loaning more money than you can afford. In other words, they think the government protects from themselves and from there, the thought process is, "by law, they can't loan me more than I can afford.... so...... if they are offering to loan me this much...I MUST be able to afford it... otherwise they wouldn't loan me this much!" So, they got the loans. Then, when they couldn't pay the note... what did they say? It was predatory lending... the banks duped them... took advantage of them. Christ Dodds/Barney Franks are at fault because they lowered the standards and then Barack Obama threatened lawsuits if they didn't make the loans.

The critical thing to recognize is that those loans were made to the government standards. If the government maintains the standards... none of this happens.

The Democrat claim that we are where we are because of Bush's standards is just false. Bush had nothing to do with any of it.

Those pharmacies up in NE... I'm not sure what happened. It's possible they received some contaminated materials from a supplier. OR, it's also possible that they weren't breaking down their equipment and cleaning it. When I was making IV's we broke everything down and cleaned it at night and then cleaned it again the morning before we started. We weren't set up for bulk compounding like they appeared to be.

 

[bobhawg]

Re: Bank of Amigo should sue the democrat party. It was Jimmy Carter and a

Ham, do you remember the company called the Drug Emporium? There were several around here and I liked them, but they actually were knowingly buying counterfeit drugs and selling them. I think an executive or two went to prison, but I liked that chain and used to go there a lot.

And if I understood it all, they were buying basically fake copies of drugs and not ones from say Canada which I assume have the same quality as others, but the fake ones were in some cases I think, worthless imitations.

 

[Ole Hambone]

Re: Bank of Amigo should sue the democrat party. It was Jimmy Carter and a

Originally posted by bobhawg:
Ham, do you remember the company called the Drug Emporium? There were several around here and I liked them, but they actually were knowingly buying counterfeit drugs and selling them. I think an executive or two went to prison, but I liked that chain and used to go there a lot.

And if I understood it all, they were buying basically fake copies of drugs and not ones from say Canada which I assume have the same quality as others, but the fake ones were in some cases I think, worthless imitations.

I guess I was out of the loop on Drug Emporium. We still have a Drug Emporium here in Shreveport. But, remember, I haven't worked retail in about 20 years. The last 8 years I worked was at a pharmacy that serviced nursing homes. I will have been retired 11 years this Christmas.

There can be more than one kind of counterfeit drug. Drugs that are exported in bulk to other countries from the US aren't supposed to be reimported in bulk because they are sold at a huge discount over seas. When I was working, it was illegal to import drugs manufactured overseas. Sometimes, companies will counterfeit generic drugs. The advantage is that a pharmacists can fill the Rx with a cheaper generic and bill the insurance or governmetn for a higher cost generic.

There have even been cases of generic manufactureres pouring the brand makers product into the generic capsules and using them for testing to prove that their product is equivalent to the brand makers product so they can get them approved for manufacturer and distribution.

Gotta go.. Headed to LR for the Ole Miss game in about an hour....

 

[PeteJC]

Re: Bank of Amigo should sue the democrat party. It was Jimmy Carter and a

No one has pushed for the removal of all regulations.

 

[Ole Hambone]

Re: Bank of Amigo should sue the democrat party. It was Jimmy Carter and a


I checked into this sueing of BOA.

Janet Reno threatned BOA to make those sub-prime loans are she would bring down the entire weight of the federal government on them..

SO, what would you have done if you were in BOA's shoes?

 

[bobhawg]

Re: Bank of Amigo should sue the democrat party. It was Jimmy Carter and a

Not openly, but many would like to see it. i know a lot for instance who would like to see OSHA done away with, and a ton of bankers avoid regulations when they can. But I concede most reasonable people know some are needed.

 

[bobhawg]

Re: Bank of Amigo should sue the democrat party. It was Jimmy Carter and a

I would like to think I would have said, Okay, any minority who can qualify we will give a mortgage, but we will maintain minimum standards.

But I do not see the connection to things like most mortgages at the end were interest only, I doubt if the Feds pushed that, but my local banker told me in 2007 or so that 85% of their mortgages, (which they immediately sold) were interest only loans. Now when a local loan shark does that, it is a crime. RICO I believe.

What I am saying, I agree the original push was from the liberal administration in DC, but I also contend the bankers once they saw the potential, they went overboard and a feeding frenzy, then total lack of discipline took over the entire mortgage industry and it got out of control and crashed.

So I think was equal blame and the outcome was inevitable

.

 

[rzrbk7777]

Re: Bank of Amigo should sue the democrat party. It was Jimmy Carter and a

The problem with regulations is the same problem that happens in most government bureacracies, they turn into political weapons saturated with bureacrats. Obama uses the EPA to enforce laws he couldn't get passed with cap and trade, OSHA has pushed workplace safety into a ridiculous set of rules designed to overprotect employees from themselves and fine employers out of existence for often stupid things, Homeland Security is setting up to disregard our rights as they see fit, which is a very dangerous precedent, the Labor Dept. has done it's best to remove common sense from the employee/employer relationship, and on and on and on.

Regulations are a greatly needed part of our society. However, regs used to further political agendas, justify the existence of bureacrats, and take away our freedoms for no good reason, need to be neutered.