Loan Recall - Should our government place a recall on ALL toxic mortgages?

[Moe Bedard]

Johnny gets sick at McDonald’s from a double cheeseburger tainted with ecoli. Results, a massive recall of all beef associated with the meat packaging facility and eventually the complete shut down of the company that sold the tainted beef to Johnny.

Meanwhile Johnny is OK now and still eating double cheeseburgers. The beef company is out of business. Kaput, el finished, sayonara, GOOD BYE.
One burger, one kid, an upset tummy, and our Government is there to save the day with the mighty nationwide beef recall.

Maybe the reason these beef companies get shut down so quick is because they do not offer too many political campaign contributions to get the shaft from our government? Maybe they should play the Capital Hill game a bit more, take buckets of their “tainted cash” to Washington and take a clue form the CEO’s of lending institutions. Just a sick political thought! Seems like it works perfect for them…………..

Johnny’s dad kicked the cow and had to pick it up with a fork lift. He really was not nice to those cows because they did not move when he said move. So, he kicked them and was caught on video.

Results = 123 Million pounds of beef recalled in the largest recall of beef ever. No one got sick. No one died. Cows are OK now. Geez folks, that was a close one!

Oh wait, Johnny just got a toy made in China. Good thing Johnny’s mom is a scientist and checks for lead based paint. The results come back positive and every darn toy is recalled around the world. Toy company is shut down and the president does the honorable thing in China and kills himself. Yes, he killed himself.

Meanwhile in the glorious US of A, the people of our country have been forced into a recession (yes, we are!) by these lawless lenders and Wall Street brokerages that our government protects and shields (if you do not think that, then you need to wake up and smell the trillion pounds of toxic loans because it stinks!), over 1 million homes foreclosed on, murders, suicides, economic blithe, homelessness, lawsuits, joblessness, lay offs, scams, theft, deception, depression, sleeplessness and divorce.
All as a a result of “tainted and toxic loans!”

Yet our government does little to help the MILLIONS of victims as it pumps billions into Wall Street and the banking systems to “save” lending institutions and Wall Street. Meanwhile in the streets of America, the people continue to get sick and suffer in their homes. Silently, alone………….

In no way to I condone cruelty to animals and in no way do I condone cruelty to humans. The above examples are true and are done with a Moe spin to show how hideous this really is. Thanks to Peter Miller of Realty Times and FHALoanpros.com for giving me the fire to write this post.

Peter Miller/Realty Times:

The other argument made by lenders has been that they were social do-gooders, moral folks offering cheap loans so more families could own housing.

Now we know that the do-gooder argument doesn’t hold water. Figures from the latest Census Bureau survey show that homeownership in the last quarter of 2007 was down to the lowest level seen since 2002. You remember 2002 — that was before toxic loans were widely marketed.

The reason millions of people are facing foreclosure today is very simple: A lot of money was made originating, selling and packaging loans with terms that were unfair and unconscionable from day one. Like tainted food, defective cars or toys covered with lead, such flawed financial products should be recalled at no cost to the consumer. After all, isn’t that the moral thing to do?

Moe's blog link Loan Recall - Should our government place a recall on ALL toxic mortgages?

[Andrew]

Yes that would be great if the government recalled all mortgages and rewrote them to suitable terms and they became government owned loans. But that will never happen in a million years because all the banks are in the politicians pockets.

[Moe Bedard]

I agree Andrew. The only way it would happen is if the American people spoke up and fought for what is right in this country.

Consumers, Americans, us, contribute to 70% of our gross National spending and if we decided to place a "consumer strike" on not paying such things as our mortgage and our credit cards, then maybe we would send a message to corporate America that we aren't going to be swindled by these big banks and Wall Street brokerages, so we, the tax payer will bail out these big firms that sold the American people snake oil and now as we suffer, lose our homes, people die and are under enormous stress, our glorious government bails them out and turns a blind eye to the suffering homeowner.

There is something terribly wrong with pour country hen we see this happen. The only question is, 'Will the people stand up and fight for what is right or will they remain silent and scared to speak up!

As Thomas Jefferson once said, "I believe that banking institutions are more dangerous to our liberties than standing armies. The issuing power should be taken from the banks and restored to the people, to whom it properly belongs."

[Andrew]

Speaking of Thomas Jefferson, have you seen the new John Adams show on HBO, its amazing in my mind. Back then people weren't bought off. Now today is another story. These banks are funneling campaign money to the politician and so forth.

"Payment Strike Revolution".

[hjova]

What a perfect way of looking at this mess! Why can't the goverment see it too? The more I read in this forum the more I hear people in the exact same boat I am in. And I thought I was all alone! Ha.

Something needs to be done for us... I am now not only feeling my own pain, but the pain of millions of others who are desperatley searching for help too! It's like weve all unknowingly eaten a bad burger and the ones that fed it to us are now just standing there watching us rot shrugging their shoulders!

They need to come up with a cure before we all die!