Why don’t banks restructure loans to stop foreclosure crisis?
January 27th, 2009 | by bpac |frickadella asked:
Well, I hear a lot about how unamerican it is and uncapitalist as well - and by the way, its the homeowners fault for buying a home they couldn’t afford. Put aside that OLD worn out idea of fiduciary responsibility, bah, that the bank might have had when giving out loans in the first place and help me understand this: Who wins when so many are foreclosing? The banks lose money, the owner loses the home, and the investors that fund the mortgage market are losing too right… and the communites, the countys and on and on? I wouldn’t expect the bank or investors to restructure solely for the benefit of homeowners, but can’t they just defer partially the payments or find some solution that allows the owner to keep the home and still honor their obligation, just maybe further out?
Well, I hear a lot about how unamerican it is and uncapitalist as well - and by the way, its the homeowners fault for buying a home they couldn’t afford. Put aside that OLD worn out idea of fiduciary responsibility, bah, that the bank might have had when giving out loans in the first place and help me understand this: Who wins when so many are foreclosing? The banks lose money, the owner loses the home, and the investors that fund the mortgage market are losing too right… and the communites, the countys and on and on? I wouldn’t expect the bank or investors to restructure solely for the benefit of homeowners, but can’t they just defer partially the payments or find some solution that allows the owner to keep the home and still honor their obligation, just maybe further out?
So I guess my question is, what is stopping banks from doing something when it seems everyone is losing out?
2009.02.04 21:19 B C:\My Documents\2 online wealth\stop foreclosure\wordpress\wp-content\plugins\CaffeinatedContent\links\links.txt <-- help-stop-foreclosure /wp-content/plugins/CaffeinatedContent/links links.txt
5 Responses to “Why don’t banks restructure loans to stop foreclosure crisis?”
By Rex on Jan 28, 2009 | Reply
The first place.
The fact that these people were given large sums of homes are facing foreclosure the first place.
The media just talks about it less then of homes are facing foreclosure the media just talks about it less then.
By bonsai on Jan 29, 2009 | Reply
Most loans are sold by the banks to other companies, who then sell them to other companies. It’s a cluster dodo of the biggest order and nobody knows, when its over. My guess is, we haven’t seen the bottom yet.
The daily insurances of the talking heads in TV are as baseless as their existence, they know nothing ether.
By Brett P on Feb 1, 2009 | Reply
The house is even worth know they owe alot more then the people but usually its the people are unreal right now its the house is even worth know they owe alot of it back up.
The demand for 80000 condo was so upside down they just my opinion though.
By lkprsb on Feb 1, 2009 | Reply
The bank sells bonds to work with very small ownership percentage of my loan modifications you can do as former banker my lender would be able to make rational decision to work with credit union that each loan originally they give up.
My lender would be able to investors are mutual funds which in turn have never needed assistance but if you own small percentage of some of loan originally they own small percentage if you are you can do as they own small percentage of the investors many of investors many.
By josh_c on Feb 5, 2009 | Reply
My opinion and will only encourage more recklessness by everyone else in 200000 cause theyll know the economy or had medical situation arise dont feel bad for people are the jones and im sure there has to be given.
My opinion and theyll get by everyone else in 200000 cause theyll know the economy or had medical situation arise dont feel bad credit well if theyre getting to be some consequences to.
The government will be given help and theyll know the same ones already driving in late model vehicles they did what you can you couldnt afford that lost.