Archive for the ‘Economics’ Category

Washington Mutual is telling people they are not participating in the government bailout?
November 10, 2008

Washington Mutual, the failed financial institution bought by Chase, is telling troubled homeowners that they, “are not participating in the government bailout, not reducing mortgage debt, not writing down any mortgages.”

So all the loyal taxpayers out there can rest assured that Chase took the government billions and will not be helping any of the WaMu homeowners who want to remain in there home and try to pay the market price for there home.

What the f#%* ?

So if you owe $850,00 on a home that is now worth $400,000 you will not get any relief whether it is because  of a bad loan, or predatory loan, or a tumbling real estate market. Washington Mutual and Chase would have the home go to foreclosure and sell for 200,000 instead of re-writing the mortgage at the proper appraised value.

Advertisements

It’s not Capitalism its a pyramid scheme.
September 30, 2008

The economy has been a complex pyramid scheme for some time now.

Let get back to the basics to save this country.

Banks call loans early to try and boost cash reserves.
September 30, 2008

Banks have been calling loans early, at the first 31 days late moment, to try and flip and cash out their equity. Despite the fact that this leads to losses in the long term it boosts the cash reserves. Rather than waiting 15-30 years as the borrower pays back the loan and interest they are calling in the loans at the first sign of trouble and selling the properties at a loss. Because it adds more cash (an at loss sale at 50 cents on the dollar is still more cash than one months payment or many months payments for that matter.)

This is why Congress needs to help the small businesses that are in trouble. Not rely on the big banks to do so.