stick around until at least the 5 minute mark
No one cares how the money creating machine works as long as it keeps running.
Debts never repaid remain in circulation in under fractional reserve banking. The world's rich (including some foreign central banks) will continue use all the extra chits to buy up the strategic assets. The disposable chipboard houses were just a conduit.
|Born in the RSR |
The american banker's association > Legion of Doom
Some of these homedebtors who continue to reside in houses they couldn't afford are in a sense also some of the "winners" here. Strategic foreclosure is also a fraud of sorts. Losers from last decade include past and present households still priced out of a home, and prudent savers, both from low returns and their losses from indirect investments in the the MBS trash.
Few besides the Federal Reserve are now buying securitized mortgages, and the Fed's low interest rate policy has both decimated savers and eroded the bank deposit base of local banks that might otherwise fund and resurrect the traditional mortgage model. The housing market will increasingly become a cash market, locking out millions of potential buyers, and prices will continue to fall. Best estimates I've seen for a bottom to the Lesser Depression fall around 2016.
Next step; banks get out of this by getting politicians elected who will pass laws (under the rhetoric of "deregulation to stimulate the economy") that ultimately protect them from punishment and absolve them of wrongdoing and legal responsibility.
It is completely fucking inevitable.
"What did you do at work today honey?"
"Perpetrated a massive fraud that damaged the entire American economy."
"Don't worry, dear, no one will ever be punished in any meaningful way at all, ever."
So the government wants to pay people off to "accept" the ownership of the bank, which they can't prove, because ???
Because its a mess. One forensic accountant's mortgage securitization audit:
You're too kind, Godot. Most of these trusts were done under NY state law, and if you follow that law many of those trusts are invalid due to the way they were constituted. This is not just legal hairsplitting, some really basic laws designed to prevent fraudulent claims of ownership were broken, and are being broken. But of course, laws are only for the little people.
|Dread Pirate Roberts |
... this kind of shit makes me want to rethinking buying my own house (which I'm in the process of currently). This is some scary shit.
As others have said, stick around until at least the 5:00-6:00 range, and you'll see how bad this is.
|The Mothership |
Sweet merciful fuck. That ain't right at all.
|Caminante Nocturno |
Welcome to your libertarian paradise.
Just when I think I have found the absolute bottom of my capacity for cynicism, America throws me a shovel.
| Register or login To Post a Comment|