loosecannon
Senior Member
- May 7, 2007
- 4,888
- 269
- 48
Send Lawyers, Guns and Money; the shit has hit the fan!
When you consider the gravity of what is at stake, the certainty that your home, that you pay for, is your home, and so too for all 300 million of your fellow Americans...This saga of gross mismanagement and negligence has to be one for the ages:
http://www.nytimes.com/2010/10/14/business/14mortgage.html?src=busln
Fuck the idiotic mantra that saving the banks saved us all from catastrophe. The Banks ARE the catastrophe!
Just kill the banks and start over. You will thank me, be certain of that.
Kill the banks before they destroy us all!
When you consider the gravity of what is at stake, the certainty that your home, that you pay for, is your home, and so too for all 300 million of your fellow Americans...This saga of gross mismanagement and negligence has to be one for the ages:
At JPMorgan Chase & Company, they were derided as “Burger King kids” — walk-in hires who were so inexperienced they barely knew what a mortgage was.
At Citigroup and GMAC, dotting the i’s and crossing the t’s on home foreclosures was outsourced to frazzled workers who sometimes tossed the paperwork into the garbage.
And at Litton Loan Servicing, an arm of Goldman Sachs, employees processed foreclosure documents so quickly that they barely had time to see what they were signing.
“I don’t know the ins and outs of the loan,” a Litton employee said in a deposition last year. “I’m not a loan officer.”
...JPMorgan Chase acknowledged that it had not used the nation’s largest electronic mortgage tracking system, MERS, since 2008.
That system has been faulted for losing documents and other sloppy practices. ...
About 11.5 percent of borrowers are in default today, up from 5.7 percent from two years earlier.....
To make matters worse, the banks had few financial incentives to invest in their servicing operations, several former executives said. A mortgage generates an annual fee equal to only about 0.25 percent of the loan’s total value, or about $500 a year on a typical $200,000 mortgage. That revenue evaporates once a loan becomes delinquent, while the cost of a foreclosure can easily reach $2,500 and devour the meager profits generated from handling healthy loans.
“Investment in people, training, and technology — all that costs them a lot of money, and they have no incentive to staff up,”....
And even when banks did begin hiring to deal with the avalanche of defaults, they often turned to workers with minimal qualifications or work experience, employees a former JPMorgan executive characterized as the “Burger King kids.” In many cases, the banks outsourced their foreclosure operations to law firms like that of David J. Stern, of Florida, which served clients like Citigroup, GMAC and others. Mr. Stern hired outsourcing firms in Guam and the Philippines to help.
The result was chaos...“The girls would come out on the floor not knowing what they were doing,”
In some cases, even steps that were supposed to ease the situation, like the federal program aimed at helping homeowners modify their mortgages to reduce what they owed, had actually contributed to the mess. Loan servicing companies complain that bureaucratic requirements are constantly changed by Washington, forcing them to overhaul an already byzantine process that involves nearly 250 steps.
http://www.nytimes.com/2010/10/14/business/14mortgage.html?src=busln
Fuck the idiotic mantra that saving the banks saved us all from catastrophe. The Banks ARE the catastrophe!
Just kill the banks and start over. You will thank me, be certain of that.
Kill the banks before they destroy us all!
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