Not Fannie Not Freddie

iVillage Member
Registered: 03-25-2007
Not Fannie Not Freddie
22
Sun, 10-12-2008 - 1:42am

It wasn't Fannie or Freddie, the real culprits:


Sopal

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iVillage Member
Registered: 03-26-2003
Sun, 10-12-2008 - 4:00am
Someone here posted a very good and informative NPR program about this mess. One of the guests was a young guy who used to work for one of these fly-by-night subprime mortgage brokers. The thing I do not understand is how the brokers could make up and sell these kinds of "loan products" without any oversight from anyone. The kid mentioned one such "product" called a NINA loan, no income, no assets. Where was the fed? Are there no rules or oversight at all for this kind of thing?
iVillage Member
Registered: 10-08-2008
Sun, 10-12-2008 - 9:11am
Of course we already knew that.....but the meme has already taken hold on wingnut radio: it's all the Democrats' fault for trying to loan money to brown people through Fannie and Freddie.
iVillage Member
Registered: 09-18-2008
Sun, 10-12-2008 - 9:13am

< The kid mentioned one such "product" called a NINA loan, no income, no assets.> They are actually called NINJA loans- No income, no job or assets.

This article from December 2007 explains a lot. I wish I would have read it back then. This author was a wise man.
http://www.lewrockwell.com/north/north591.html

" You have heard of NINJA loans: no income, no job or assets. These were loans made by local mortgage brokers to first-time home buyers. Poor people were offered loans at rates far lower than conventional loans. The brokers told the prospective debtors that they could re-finance later to get long-term loans. This was not put in writing, and so it cannot be proven. But everyone in the industry knew it was being done. Therein lies the trap for America's largest banks. "Everyone knew."

iVillage Member
Registered: 03-26-2003
Sun, 10-12-2008 - 10:15am
Thanks for that. It is still beyond me how the banks or brokers were allowed to make these kinds of loans in the first place, never mind about reselling them.
iVillage Member
Registered: 11-11-1999
Sun, 10-12-2008 - 10:40am
Thanks for posting this and putting to bed the right wing nonsense that minorities owning homes caused a worldwide real estate meltdown and economic collapse. This quickness to fingerpoint at minorities once again shows the true goal of the right-to establish and maintain a class system in this country and to make it difficult if not impossible to move within it.

dablacksox


Cynic: a blackguard whose faulty vision sees things as they are, not as they ought to be.---Ambrose Bierce, The Devil's Dictionary.

dablacksox


Cynic: a blackguard whose faulty vision sees things as they are, not as they ought to be.---Ambrose Bierce, The Devil's Dictionary.

iVillage Member
Registered: 10-25-2006
Sun, 10-12-2008 - 11:09am

Thanks for posting that.

Interesting article...while I still think F&F share some of the blame, because the percentage of mtgs sold into the secondary market by the PRIVATE sector increased so dramatically, from 18% to ~65% between 1999 and 2006, the private sector clearly contributed more to this meltdown than did Fannie & Freddie.

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http://www.pnhp.org/news/2009/october/meet_the_new_health_.php

http://www.youtube.com/watch?v=DQTBYQlQ7yM

iVillage Member
Registered: 10-07-2008
Sun, 10-12-2008 - 11:14am

This is dangerous territory for Bush bashers because even if the private sector contributed largely to the current economic mess.

iVillage Member
Registered: 09-26-2008
Sun, 10-12-2008 - 11:37am
Oh yeah, and has been stated on here before - it was a veto-proof majority because all the Republicans in Congress were salivating over
iVillage Member
Registered: 08-20-2008
Sun, 10-12-2008 - 12:52pm

Thank you for posting the truth. And the truth is something the fops (Fox-Republican officials and politicians) are sorely lacking. In fact, the fops told us shortly after they took total power in 2000 that reality doesn't matter. And they have lived up to their ethos, or lack of it, by lying to us every opportunity they get.

This is why it was so critical that the fops wreck our Justice Department. With Gonzalez running the show, there would be no one, no one at all, to hold them accountable.

Now the fops are at it again.

How could we ever truly believe that the fops were not responsible for what happened under their watch, whether it's the regulators missing the ball on the sub-prime crisis, bin Ladin making a mockery of us for 7 years, the economy tanking more so than ever since the Great Depression, and the endless war in Iraq which they said would be over in a jiffy??

Sopal, it pains me to say this, but the fops are a bunch of liars. They do not deserve our respect. They don't belong in office. In fact, many of them should be in jail. It's time we show all Republicans the door this election!

iVillage Member
Registered: 07-25-2006
Mon, 10-13-2008 - 8:06am

The New York Times calls McClatchey News a "quality newspaper with a liberal bent. This oped appeals to it's liberal readers, but it doesn't seem very quality or even very honest.


Taking, out of context, a snippet of all the information someone like Neil Cavutto or Krauthammer has said on the subject and then claiming they don't know that Fannie and Freddie aren't money lenders isn't factual, but does show


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