AIG paid 73 employees bonuses of $1 million or more; 11 of whom are nolonger there, according to NY Atty. Gen. Cuomo.
http://www.cnn.com/2009/POLITICS/03/17/aig.bonuses/index.html
Brilliant. You’re not supposed to get bonuses after you’ve left. You’re no longer an employee.
AIG is a bad company and should’ve went under. It would’ve been better for the economy if they collapsed. The mortgages would’ve been sold to Wells Fargo and others for 25 cents on the dollar. On a $400,000 house now worth $200,000 they would’ve paid $100,000 for the mortgage and gladly refinanced it to the homeowner for $200,000. This would’ve lowered their payment, kept them in their house and the new mortgage holder would make a profit off a previously bad loan. With a bailout the horrible status quo is maintained and the economy is held up with a false-bottom and still has room to hit rock-bottom. But this time rock bottom includes a government mortgaged future of bailout money we borrowed from whoever. What a mess.
Showing posts with label mortgage. Show all posts
Showing posts with label mortgage. Show all posts
Tuesday, March 17, 2009
Tuesday, September 30, 2008
Mortgage Crisis Blame Game
Nancy “will Bush Bash for cash” Pelosi claims its Bush’s failed policies that have lead to this financial mortgage crisis we find ourselves in today. Is it the “failed policies” or greed that led to this crisis?
Thanks to these “failed policies” we’re American Homeowner’s today. We failed to qualify for a home twice during the Clinton administration. We bought our first house in 2002. We sold that house and bought our current house in 2006. We’re one of those “no money down” borrowers that are being bashed in the news. The news seems to not realize that not ALL “no money down” homebuyers messed up.
For BOTH houses our lender pre-qualified us for $50,000 more house than we were shopping for. It was nice to have that flexibility but it would’ve been irresponsible to spend that money. Our priority was a house our family could live in and our ability to make our monthly mortgage payment. Combined we’ve now been homebuyers for 6 years and we’ve never missed a payment because we didn’t get greedy and “overbuy” a house we couldn’t afford.
It’s not the “policies” that have failed. It’s human nature that has failed. Greed on both the lender and the borrowers’ side has lead to this crisis. Both Congress and the President should’ve paid attention to what was going on and either warned us or put a stop to it. But, ultimately it was the lenders dangling the giant carrot and the borrowers biting off more than they could chew that lead us to where we are today.
Polls are mixed as to whose blame it is. Regardless of whether the industry is “regulated” or “de-regulated” it ultimately comes down to two things. The lenders authorized the loans and the borrowers signed on the bottom line.
Thanks to these “failed policies” we’re American Homeowner’s today. We failed to qualify for a home twice during the Clinton administration. We bought our first house in 2002. We sold that house and bought our current house in 2006. We’re one of those “no money down” borrowers that are being bashed in the news. The news seems to not realize that not ALL “no money down” homebuyers messed up.
For BOTH houses our lender pre-qualified us for $50,000 more house than we were shopping for. It was nice to have that flexibility but it would’ve been irresponsible to spend that money. Our priority was a house our family could live in and our ability to make our monthly mortgage payment. Combined we’ve now been homebuyers for 6 years and we’ve never missed a payment because we didn’t get greedy and “overbuy” a house we couldn’t afford.
It’s not the “policies” that have failed. It’s human nature that has failed. Greed on both the lender and the borrowers’ side has lead to this crisis. Both Congress and the President should’ve paid attention to what was going on and either warned us or put a stop to it. But, ultimately it was the lenders dangling the giant carrot and the borrowers biting off more than they could chew that lead us to where we are today.
Polls are mixed as to whose blame it is. Regardless of whether the industry is “regulated” or “de-regulated” it ultimately comes down to two things. The lenders authorized the loans and the borrowers signed on the bottom line.
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