Mortgage Crisis Is Leaving Children H...

Mortgage Crisis Is Leaving Children Homeless

There are 7 comments on the www.alternet.org story from Jul 13, 2008, titled Mortgage Crisis Is Leaving Children Homeless. In it, www.alternet.org reports that:

Children's advocates say the impacts of the housing and foreclosure crisis are being felt in K-12 classrooms and communities across the country. The United States' current record-breaking rates of mortgage foreclosure will directly affect 2 million children this year and next...

Join the discussion below, or Read more at www.alternet.org.

Lucius Vorenus

Reseda, CA

#1 Jul 14, 2008
It is not the mortgage crisis that is leaving children homeless. Rather it is the parents, who in their haste, were too dumb to read the loan documents or to ask questions.

And don't say that they were taken advantage of, there are abundant safeguards that have been enacted to protect them from their own stupidity!!!

Protection laws such as the "Truth in Lending Act", "Equal Credit Opportunity Act", "Fair Housing Act", etc. How much more protection do these illiterate dummies need, except, maybe to learn how to read. Oh, I forgot, we have the public schools to take care of that.

DobyTheDoggy

“The face you love to hate!”

Since: Jan 08

Gatorade...is it in you? HAHA!

#2 Jul 14, 2008
Lucius Vorenus wrote:
It is not the mortgage crisis that is leaving children homeless. Rather it is the parents, who in their haste, were too dumb to read the loan documents or to ask questions.
And don't say that they were taken advantage of, there are abundant safeguards that have been enacted to protect them from their own stupidity!!!
Protection laws such as the "Truth in Lending Act", "Equal Credit Opportunity Act", "Fair Housing Act", etc. How much more protection do these illiterate dummies need, except, maybe to learn how to read. Oh, I forgot, we have the public schools to take care of that.
Do you understand indices and margins? Can you tell which is a volatile index versus a stable one? Do you know what a floor statement is and where it can be found in the closing docs?

Can you explain the interest calculation in a negative amortization loan and what happens after the recast?

I'll wait for your obviously very informed response.
Lucius Vorenus

Reseda, CA

#3 Jul 14, 2008
DobyTheDoggy wrote:
<quoted text>
Do you understand indices and margins? Can you tell which is a volatile index versus a stable one? Do you know what a floor statement is and where it can be found in the closing docs?
Can you explain the interest calculation in a negative amortization loan and what happens after the recast?
I'll wait for your obviously very informed response.
Volitile Index = LIBOR, 1 year CMT, Fed Funds
Stable Index = 12th district cost of funds

Negative amortization = insufficient interest charged due to below market rates, which is added to principal, thereby increasing the principal balance to an amount greater than when initially funded. The deficient interest is added to the principal and interest is compounded.

Again, if these "rubes" were even too stupid to realize that they didn't understand something, and not ask questions; then they got what they deserved.

The stupid don't deserve to be "bailed out" and if they are too dumb to ask questions, too bad!

The late Supreme Court Justice, Oliver Wendell Holmes said it best about these "people" when he wrote in a United States Supreme Court opinion:

"It is better for all the world, if instead of waiting to execute degenerate offspring for crime, or to let them starve for their imbecility, society can prevent those who are manifestly unfit from continuing their kind. The principle that sustains compulsory vaccination is broad enough to cover cutting the Fallopian tubes. Three generations of imbeciles are enough." [Buck v. Bell, 274 U.S. 200, 207]

DobyTheDoggy

“The face you love to hate!”

Since: Jan 08

Gatorade...is it in you? HAHA!

#4 Jul 14, 2008
Lucius Vorenus wrote:
<quoted text>
Volitile Index = LIBOR, 1 year CMT, Fed Funds
Stable Index = 12th district cost of funds
Negative amortization = insufficient interest charged due to below market rates, which is added to principal, thereby increasing the principal balance to an amount greater than when initially funded. The deficient interest is added to the principal and interest is compounded.
Again, if these "rubes" were even too stupid to realize that they didn't understand something, and not ask questions; then they got what they deserved.
The stupid don't deserve to be "bailed out" and if they are too dumb to ask questions, too bad!
The late Supreme Court Justice, Oliver Wendell Holmes said it best about these "people" when he wrote in a United States Supreme Court opinion:
"It is better for all the world, if instead of waiting to execute degenerate offspring for crime, or to let them starve for their imbecility, society can prevent those who are manifestly unfit from continuing their kind. The principle that sustains compulsory vaccination is broad enough to cover cutting the Fallopian tubes. Three generations of imbeciles are enough." [Buck v. Bell, 274 U.S. 200, 207]
WRONG!! I asked you about the recast of negative amortization loans! You have no clue about the recast and I truly doubt you can google that like you did the rest! I will add that you also cannot explain how to come up with what amount is added and how that amount is figured by the margin.

Wrong also on the volatile indices! COSI, COFI, 10ry treasury are are much more stable!(while you did google correct on the LIBOR)(London InterBank Offer Rate)

Here's the point that you obviously don't get. I have been in the finance industry for many years.(almost 20) I wouldn't expect that you could answer these questions. Why? Because you aren't an industry professional and you don't know!

Just as I more than likely have ZERO knowledge in your field of expertise. Sure, maybe I can quote a few silly buss words like LIBOR or TIL but the reality is you have no clue what takes place behind the scenes in the process, nor should you be expected to.

So what do you do? You trust a professional. When you sit with your attorney, he or she gives you legal advice and you pay them for it correct? How is the dreaded loan officer any different? I will agree with you that many people of ALL RACES were in a rush to buy perhaps more home than they realistically needed with respects to space. But is was the lending professional using/recommending hybrid products with underlying risk that they did not explain to the retail customer that is entrusted with the responsibility of making sure their client didn't buy more than they could financially afford. That includes when a hybrid product adjusts or a neg-am product recasts.

Question: If your doctor that you trusted prescribed a medication that ultimately killed you, what would be the consequence?

Google: Fiduciary Responsibility

DobyTheDoggy

“The face you love to hate!”

Since: Jan 08

Gatorade...is it in you? HAHA!

#5 Jul 15, 2008
I'll assume you agree.....LOL!

“Dreams are the touchstones of ”

Since: Feb 07

Our characters

#6 Jul 15, 2008
Lucius Vorenus wrote:
It is not the mortgage crisis that is leaving children homeless. Rather it is the parents, who in their haste, were too dumb to read the loan documents or to ask questions.
And don't say that they were taken advantage of, there are abundant safeguards that have been enacted to protect them from their own stupidity!!!
Protection laws such as the "Truth in Lending Act", "Equal Credit Opportunity Act", "Fair Housing Act", etc. How much more protection do these illiterate dummies need, except, maybe to learn how to read. Oh, I forgot, we have the public schools to take care of that.
Isn't it also a possibility that they were tricked? Haven't you ever had someone sale you something that they lied about or didn't tell the whole truth? Perhaps I would believe that these people were just dummies if it were just a few people, but when it's millions, that tells me that the problem is on the other end. Just my opinion.

DobyTheDoggy

“The face you love to hate!”

Since: Jan 08

Gatorade...is it in you? HAHA!

#7 Jul 15, 2008
kaley wrote:
<quoted text>Isn't it also a possibility that they were tricked? Haven't you ever had someone sale you something that they lied about or didn't tell the whole truth? Perhaps I would believe that these people were just dummies if it were just a few people, but when it's millions, that tells me that the problem is on the other end. Just my opinion.
Cosign!

Tell me when this thread is updated:

Subscribe Now Add to my Tracker

Add your comments below

Characters left: 4000

Please note by submitting this form you acknowledge that you have read the Terms of Service and the comment you are posting is in compliance with such terms. Be polite. Inappropriate posts may be removed by the moderator. Send us your feedback.

New York Institute of Technology Discussions

Title Updated Last By Comments
News Arkansas State University chancellor resigns af... Aug '16 guest 1
News NYIT team tours Region 8 hospitals, reviews res... (Oct '14) Oct '14 cooter 1
News The Illegal Alien Problem: Enforcing the Immigr... (Aug '10) May '14 tommy deely 12
News Arkansas at New York collaborate on state's sec... (Mar '14) Mar '14 guest 1
News Bjong Wolf Yeigh selected as chancellor for UW ... (May '13) May '13 Happyhesleaving 1
News Wedding: Nicole Ramaglia and Andrew Zoitas (Feb '13) Feb '13 Country Boy 2
News Dan Smith Running for Sachem School Board (May '11) May '11 The Wolf Family 1
More from around the web