Zone1 Tax the Rich! Make them Pay their Fair Share!

[JonKoch]

Brokers that were what?

Selling crappy paper to Fannie, Freddie and the commercial banks?

All of them.

Try again Cupcake




Consider a study by McClatchy: It found that more than 84 percent of the subprime mortgages in 2006 were issued by private lending. These private firms made nearly 83 percent of the subprime loans to low- and moderate-income borrowers that year. And McClatchy found that out of the top 25 subprime lenders in 2006, only one was subject to the usual mortgage laws and regulations.

 

[JonKoch]

It found that more than 84 percent of the subprime mortgages in 2006 were issued by private lending.

And who bought this bad paper?

PLS


These were lenders who sold the bulk of their mortgages to Wall Street, not to Fannie or Freddie. Indeed, these firms had no deposits, so they were not under the jurisdiction of the Federal Deposit Insurance Corp or the Office of Thrift Supervision. The relative market share of Fannie Mae and Freddie Mac dropped from a high of 57 percent of all new mortgage originations in 2003, down to 37 percent as the bubble was developing in 2005-06.

 

[Toddsterpatriot]

ey factors and data points regarding these loans include:

• Higher Default Rates: While default rates for subprime loans were around 10% in 2004 and 2005, they increased to 13% by the end of 2006 and surpassed 17% by the end of 2007.

• "Risk Layering": Loans in 2005 and 2006 often featured "risk layering," where high cumulative loan-to-value (CLTV) ratios were combined with low FICO scores and incomplete income documentation, making them highly vulnerable to default.

• "Teaser Rate" Resets: Around 80% of subprime loans originated in 2005 were short-term hybrid adjustable-rate mortgages (ARMs) with "teaser" rates that expired in 2007 and 2008. As interest rates rose and housing prices began to drop starting in 2006, borrowers were unable to refinance out of these rising payments.

Yes, it became harder and harder to find lower quality borrowers who didn't already have a mortgage.
At the end of a bubble loan quality gets worse and worse.

 

[Toddsterpatriot]

Try again Cupcake




Consider a study by McClatchy: It found that more than 84 percent of the subprime mortgages in 2006 were issued by private lending. These private firms made nearly 83 percent of the subprime loans to low- and moderate-income borrowers that year. And McClatchy found that out of the top 25 subprime lenders in 2006, only one was subject to the usual mortgage laws and regulations.

Consider a study by McClatchy: It found that more than 84 percent of the subprime mortgages in 2006 were issued by private lending.

All of the mortgages are always issued by private lending, you silly twaat.

 

[JonKoch]

Yes, it became harder and harder to find lower quality borrowers who didn't already have a mortgage.
At the end of a bubble loan quality gets worse and worse.

No doc loans went from 4% of all loans in 2004 to about 50% in 2006. Let that soak in. In 2006, about 50% of all loans were No Doc loans. You cant stop checking the borrowers ability to repay the loan until you preempt all state laws against predatory lending and federal regulators let you.

HMM DUBYA

 

[Toddsterpatriot]

PLS


These were lenders who sold the bulk of their mortgages to Wall Street, not to Fannie or Freddie. Indeed, these firms had no deposits, so they were not under the jurisdiction of the Federal Deposit Insurance Corp or the Office of Thrift Supervision. The relative market share of Fannie Mae and Freddie Mac dropped from a high of 57 percent of all new mortgage originations in 2003, down to 37 percent as the bubble was developing in 2005-06.

19.2 million is still much larger than 7.8 million.

 

[JonKoch]

Consider a study by McClatchy: It found that more than 84 percent of the subprime mortgages in 2006 were issued by private lending.

All of the mortgages are always issued by private lending, you silly twaat.

84% of the loans were not required to follow FDIC OR OTHER BANKING LAWS CUPCAKE, you know how they went from 4% of no doc in 2004 loans to 50% by 2006, BECAUSE Dubya invoked a civil war era rile on states trying to stop predatory lending? lol

 

[Toddsterpatriot]

No doc loans went from 4% of all loans in 2004 to about 50% in 2006. Let that soak in. In 2006, about 50% of all loans were No Doc loans. You cant stop checking the borrowers ability to repay the loan until you preempt all state laws against predatory lending and federal regulators let you.

HMM DUBYA

You can't keep forcing everyone, banks, GSEs, HUD etc., to buy ever larger amounts of bad paper unless you make it easier and easier to allow weaker borrowers to borrow.

 

[JonKoch]

View attachment 1243220

19.2 million is still much larger than 7.8 million.

ED PINTO AND PETER WALLISON ARE BOTH LIARS, LIKE YOU. I showed you already Cupcake

 

[HikerGuy83]

ED PINTO AND PETER WALLISON ARE BOTH LIARS, LIKE YOU. I showed you already Cupcake

Because you are a liar, who cares who you call a liar, Butt Plug?

 

[JonKoch]

You can't keep forcing everyone, banks, GSEs, HUD etc., to buy ever larger amounts of bad paper unless you make it easier and easier to allow weaker borrowers to borrow.

World wide credit bubble and bust


Banksters lobbied for 30 years to deregulate Buttercup

 

[Robert W]

A couple of years ago, at a family function (graduation party), the subject of taxation came up. It wasn't me that brought it up, but I did make the mistake of kicking the hornets' nest.

The subject was mostly about the economy and Trump (again, it wasn't me), and one of my in-laws said something about "tax cuts for the rich," or "the rich not paying their fair share."

I wanted a clear answer and explanation for how to know or calculate what "their fair share" should be. That's all.

You would have thought I threatened them with a gun or something.

Needless to say, I never got an answer.

In my view, each and every citizens "tax burden" should initially be the same dollar amount. Thereafter, there should be taxes based on usage. For example, if you have a trucking company with 200 trucks running up and down the road every day.

My reasoning goes like this.

If Trump, Musk, or any other Billionaire were standing in line to buy a gallon of milk at the grocery store, should their cost for their gallon of milk be exponentially higher than what I pay, just because they have and make more money than I do?

In my view, fairness means we all pay the same.

Change My Mind.

Nope, you are on the right track. I too advocate to end income taxes and change to sales taxes. As you say merchants tax us and do not check our incomes.

A good example right now is gasoline. Some of the taxes we pay goes to the state and a chunk goes to the Feds. I never hear that is a bad thing.

 

[Toddsterpatriot]

84% of the loans were not required to follow FDIC OR OTHER BANKING LAWS CUPCAKE, you know how they went from 4% of no doc in 2004 loans to 50% by 2006, BECAUSE Dubya invoked a civil war era rile on states trying to stop predatory lending? lol

84% of the loans were not required to follow FDIC OR OTHER BANKING LAWS

Lenders who didn't have to make crappy loans under the CRA made most of the crappy loans?

Does that somehow help your argument?

 

[Robert W]

World wide credit bubble and bust


Banksters lobbied for 30 years to deregulate Buttercup

Banks lend out our deposits and that is the secret to how they make money.

 

[JonKoch]

Consider a study by McClatchy: It found that more than 84 percent of the subprime mortgages in 2006 were issued by private lending.

All of the mortgages are always issued by private lending, you silly twaat.

While not reaching 50% of all mortgages nationwide, low- and no-doc loans skyrocketed from less than 2% to roughly 9% of all outstanding loans between 2000 and 2007.
At the height of the housing boom (2006–2007), these loans accounted for approximately 46% of newly issued mortgages in the U.S..

FRB: Finance and Economics Discussion Series: Screen Reader Version - 200899

200899

www.federalreserve.gov

 

[JonKoch]

84% of the loans were not required to follow FDIC OR OTHER BANKING LAWS

Lenders who didn't have to make crappy loans under the CRA made most of the crappy loans?

Does that somehow help your argument?

Not even CRA. but FDIC OR OTHER BANKING REGULATORS CUPCAKE, IT WAS INVESTMENT BANKS, All 5 are gone today

 

[Toddsterpatriot]

ED PINTO AND PETER WALLISON ARE BOTH LIARS, LIKE YOU. I showed you already Cupcake

You didn't show me how many subprime loans were held by FHA, HUD and other government programs.

 

[JonKoch]

Banks lend out our deposits and that is the secret to how they make money.

Weird, they used to loan out and hold loans, what happened in the 2000's?


Banks created the 2007–2008 subprime crisis by adopting an "originate-to-distribute" model, where they issued risky, high-interest loans to borrowers with poor credit, then immediately sold them to investors as mortgage-backed securities (MBS). This broke the link between lender risk and borrower quality, encouraging lenders to prioritize loan volume over quality, while securitization spread toxic debt throughout the global financial system.

What Really Caused the Great Recession? – Institute for Research on Labor and Employment

Overview The Great Recession that began in 2008 led to some of the highest recorded rates of unemployment and home foreclosures in the U.S. since the Great Depr

irle.berkeley.edu

 

[Toddsterpatriot]

While not reaching 50% of all mortgages nationwide, low- and no-doc loans skyrocketed from less than 2% to roughly 9% of all outstanding loans between 2000 and 2007.
At the height of the housing boom (2006–2007), these loans accounted for approximately 46% of newly issued mortgages in the U.S..

FRB: Finance and Economics Discussion Series: Screen Reader Version - 200899

200899

www.federalreserve.gov

The people who bought these no doc mortgages must have stop caring about quality.

Almost like they had a gun to their heads.

 

[JonKoch]

You didn't show me how many subprime loans were held by FHA, HUD and other government programs.

Sure I did, YOU find it Cupcake