Just watching TV and see the low and no doc loan saga blowing up (again) and even worse this time.
The banking practices were allegedly fraudulent and the borrowers damn well knew they could not pay back. Yet they took the money anyway.
Now their loans are being forgiven by 75% to 100% by the banks who are fighting in the supreme count right now to stop this turning into an avalanche. I have read it involves 5% of the top 4 banks mortgage book and up to 10% of the smaller lenders who also profited from the practice at the time.
SO the damn BIG question is who will pay? I will tell you now it is the responsible people that did borrow withing their means and remain clients of these allegedly criminal institutions.
I will be damned if I will keep my hard earned in these banks only to see them clawing these losses out of my honest back side. This stinks! Yes the practice was fraudulent but the borrowers who received the benefit of the money they borrowed should also suffer like the rest of us. Naive or not somewhere in the back of their minds they must have known something or how dumb can they be? Utter stupidity is no valid excuse IMO unless they were honestly mentally challenged / disadvantaged.
I will be voting with my feet on increasing bank charges coming up to pay for this crap.
