Credit is just too easy to get, and too many Americans live simply to make their monthly payments. Go into any store & you'll see stickers on the major appliances explaining how much the product will cost you per month. What they don't tell you is how long you'll be paying for it.
For at least 15 years, anyone & everyone has beed able to walk into a car dealership with nothing more than a license in their pocket & drive away with a new car a few hours later, with no money down. The dealer will arrange financing to "fit your budget" & register the car for you. The bottom line of how long you'll be paying for it & what the car actually costs doesn't seem to matter to too many people.
As of the past 10 years (or so), housing has been sold the same way new cars have been sold. Is it any big surprise that we find ourselves in this kind of trouble now? Sure Wall Street & the government set things in motion, but a good deal of the public needs to share the blame. Too much personal debt is killing this country.
Credit is just too easy to get, and too many Americans live simply to make their monthly payments. Go into any store & you'll see stickers on the major appliances explaining how much the product will cost you per month. What they don't tell you is how long you'll be paying for it.
For at least 15 years, anyone & everyone has beed able to walk into a car dealership with nothing more than a license in their pocket & drive away with a new car a few hours later, with no money down. The dealer will arrange financing to "fit your budget" & register the car for you. The bottom line of how long you'll be paying for it & what the car actually costs doesn't seem to matter to too many people.
As of the past 10 years (or so), housing has been sold the same way new cars have been sold. Is it any big surprise that we find ourselves in this kind of trouble now? Sure Wall Street & the government set things in motion, but a good deal of the public needs to share the blame. Too much personal debt is killing this country.
Too many people live waaaay beyond their means.
Totally agree with this....what I did not know is the amount of money involved 60-Trillion dollars....when that guy said that number I was a little more than surprised.
Fannie Mae Eases Credit To Aid Mortgage Lending
By STEVEN A. HOLMES
Published: September 30, 1999
In a move that could help increase home ownership rates among minorities and low-income consumers, the Fannie Mae Corporation is easing the credit requirements on loans that it will purchase from banks and other lenders.
The action, which will begin as a pilot program involving 24 banks in 15 markets -- including the New York metropolitan region -- will encourage those banks to extend home mortgages to individuals whose credit is generally not good enough to qualify for conventional loans. Fannie Mae officials say they hope to make it a nationwide program by next spring.
Fannie Mae, the nation's biggest underwriter of home mortgages, has been under increasing pressure from the Clinton Administration to expand mortgage loans among low and moderate income people and felt pressure from stock holders to maintain its phenomenal growth in profits.
In addition, banks, thrift institutions and mortgage companies have been pressing Fannie Mae to help them make more loans to so-called subprime borrowers. These borrowers whose incomes, credit ratings and savings are not good enough to qualify for conventional loans, can only get loans from finance companies that charge much higher interest rates -- anywhere from three to four percentage points higher than conventional loans.
''Fannie Mae has expanded home ownership for millions of families in the 1990's by reducing down payment requirements,'' said Franklin D. Raines, Fannie Mae's chairman and chief executive officer. ''Yet there remain too many borrowers whose credit is just a notch below what our underwriting has required who have been relegated to paying significantly higher mortgage rates in the so-called subprime market.''
Demographic information on these borrowers is sketchy. But at least one study indicates that 18 percent of the loans in the subprime market went to black borrowers, compared to 5 per cent of loans in the conventional loan market.
In moving, even tentatively, into this new area of lending, Fannie Mae is taking on significantly more risk, which may not pose any difficulties during flush economic times. But the government-subsidized corporation may run into trouble in an economic downturn, prompting a government rescue similar to that of the savings and loan industry in the 1980's.
Interesting. Let's all vote to give these fat cats a big tax break to go with their golden parachutes!
The middle class just needs to quit their whining, buck up, and pay off this mess while these guys move on to their next venture to fuck us all over again.
I am worried we have not seen the bottom with the market.....our company is down from $65.00/share to $30.00 a share in the last 6 weeks!!.....this is an energy stock and most are down right now.....If I was sure we were close to the bottom I would buy several stocks right now as I consider them to be a very good buy......what to do.....what to do?
I am worried we have not seen the bottom with the market.....our company is down from $65.00/share to $30.00 a share in the last 6 weeks!!.....this is an energy stock and most are down right now.....If I was sure we were close to the bottom I would buy several stocks right now as I consider them to be a very good buy......what to do.....what to do?
The bottom is not here yet my friend. I am waiting to see at least a good 2 weeks of growth before jumping back in. If that means I miss out on a measily few percent then so be it. I will be damned if I can stomach much more of the +100 on a monday and -400 on the day after. These wild swings are bullshit.
Wait until January. Home sales will be completely dead, Holiday bills, Energy bills sky high and no income tax return checks yet. Next quarter we will crash and burn.
Fannie Mae, the nation's biggest underwriter of home mortgages, has been under increasing pressure from the Clinton Administration to expand mortgage loans among low and moderate income people and felt pressure from stock holders to maintain its phenomenal growth in profits.
In addition, banks, thrift institutions and mortgage companies have been pressing Fannie Mae to help them make more loans to so-called subprime borrowers. These borrowers whose incomes, credit ratings and savings are not good enough to qualify for conventional loans, can only get loans from finance companies that charge much higher interest rates -- anywhere from three to four percentage points higher than conventional loans.
''Fannie Mae has expanded home ownership for millions of families in the 1990's by reducing down payment requirements,'' said Franklin D. Raines, Fannie Mae's chairman and chief executive officer. ''Yet there remain too many borrowers whose credit is just a notch below what our underwriting has required who have been relegated to paying significantly higher mortgage rates in the so-called subprime market.''
But I thought it was all George Bush's fault- that's why I'm voting for the socialist, achem... Democratic candidate Barrack Hussein Obamination
I tell you what, if John McCain doesn't get off his ass and shine the light on the whole Democratic involvement in this mess, he's fucked. And doesn't deserve my vote. Cowboy up you "maverick" or just fade away into obscurity. The gloves have to come off now!! He's trending down in the polls as it is. If he speaks his mind he'll surely piss off some people(the Dems that wouldn't vote for him anyway), but he'll gain the respect of the independants that could make or break his chance at the White House. Do it tonight John, or just give the fuck up right now!
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2001 Sapphire with Silver Stripes ACR 1 of 49
Last edited by Lawrenzo : October 7th, 2008 at 07:10 PM.
I am worried we have not seen the bottom with the market.....our company is down from $65.00/share to $30.00 a share in the last 6 weeks!!.....this is an energy stock and most are down right now.....If I was sure we were close to the bottom I would buy several stocks right now as I consider them to be a very good buy......what to do.....what to do?
Halliburtons 52 week high was $55.38 I think that was back in July? Today we closed at $21.79.
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