Forum Post: Don't believe what Limbaugh, Beck, Hannity, or the conservatives say about the CRA, subprime, or the failed housing market. This is what really happened: It was downright cruel and calculated.
Posted 13 years ago on Oct. 20, 2011, 2:07 a.m. EST by Mcc
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The first subprime loans were issued in 1994. It was a gimmick to sell more homes, artificially inflate the market, sell more homes at higher profits, foreclose on those who could not pay when the ARM rates readjusted, take their homes leaving them with nothing to show for their payments, resell the homes at a higher profit and so on. It was a cruel and calculated plan to sell more homes and artificially inflate the market. Those loans were incredibly profitable for well over a decade before the house of cards finally collapsed. In the meantime, bankers got richer along with the richest one percent who made off with higher dividends. It was a sham.
The biggest player in the game was Countrywide. Endorsed by Oprah Winfrey, Ellen Degeneres, and Dr Phil. If you have their shows from '04' to '06' on tape, watch them again. All three were paid millions specifically to endorse Countrywide by name. The biggest subprime player in the game. They issued more ARM loans than anyone else. Foreclosing on those who could not make their monthy payments when the rates suddenly went through the roof. It was a cruel and calculated plan to sell more homes, artificially inflate the market, foreclose, and resell for a higher profit. The sham worked like a charm for 12 years before the house of cards finally fell in.
Oprah, Ellen, and Dr Phil were paid millions for their endorsements. Ch'Ching!
What I say is true. The info on Countrywide is well documented. If you have those talk shows on tape, watch them again from beginning to end. I speak the truth.
Something tells me that Oprah Winfrey, Ellen Degeneres, and Dr Phil will move Heaven and Earth to shut me up. We'll see.
The biggest player in the game was Countrywide. Endorsed by Oprah Winfrey, Ellen Degeneres, and Dr Phil. If you have their shows from '04' to '06' on tape, watch them again. All three were paid millions specifically to endorse Countrywide by name. The biggest subprime player in the game. They issued more ARM loans than anyone else. Foreclosing on those who could not make their monthy payments when the rates suddenly went through the roof. It was a cruel and calculated plan to sell more homes, artificially inflate the market, foreclose, and resell for a higher profit. The sham worked like a charm for 12 years before the house of cards finally fell in.
Oprah, Ellen, and Dr Phil were paid millions for their endorsements. Ch'Ching!
And derivatives were illegal until 1982.
(1) Bank writes mortgage then sells it into a pool, making a profit;
(2) On the sale, bank enters into a "service agreement" to get paid to collect your principal and interest payments, making a profit;
(3) Banks sell and purchase among themselves these derivatives, making a profit (on the exchange alone, broker fee);
(4) Some banks purchase the derivatives themselves and get 100 percent bailed out (negotiated by Geithner, who is shocking still employed after that);
(5) Insurers of the derivatives were 100 percent bailed out; and
(6) Many insurers just gave the banks the bailout money they received.
Banks are making a profit (1) writing a mortgage (fees), (2) selling the mortgage, (3) serving the mortgage (fee), (4) bailed out, and (5) insurance proceeds from bailouts.
You're right.