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

[Toddsterpatriot]

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

None of them were bought by Fannie or Freddie? Link?

 

[Toddsterpatriot]

Sure I did, YOU find it Cupcake

Run away again, Robin.

 

[Robert W]

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

I was a mortgage lender for a long time. I see you acting like an expert. Where did you come up with your claims.

I was the sole owner of Fountain Financial.

 

[JonKoch]

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

Almost like they had a gun to their heads.

SURE


How the Crisis Was Created Without Holding Loans:

• The Originate-to-Distribute Model: Lenders stopped holding loans on their books ("originate-to-hold") and instead sold them off, reducing their accountability for the long-term viability of the loans.

• Declining Loan Quality: The drive for volume led to rampant predatory lending and high-risk loans, including NINJA loans (No Income, No Job, no Assets).

• Securitization and Toxic Debt: Banks packaged these risky, subprime mortgages into Mortgage-Backed Securities (MBS) and Collateralized Debt Obligations (CDOs), often deceiving rating agencies into marking them as safe, high-quality investments.

• Misaligned Incentives: Because lenders made profits on the fees from creating and selling the loans, they were incentivized to create as many as possible, regardless of whether the borrower could pay them back.

• Systemic Spread: By selling these "toxic" loans to investors worldwide, banks allowed the risks from the U.S. housing bubble to corrupt the global financial system, leading to a liquidity crisis when defaults spiked

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

 

[Leo123]

Help me understand how that answers the question about why the rich SHOULD have a greater tax burden than anyone else has. . Just because they have more money.

The rich do not have the same tax burden as a wage worker. The rich are taxed at a higher rate.

 

[Chuz Life]

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.

Or even a useage tax.

The more your equipment relies on and wears down infrastructure, (highways, bridges, etc.) Tax accordingly.

That would also be fair.

 

[JonKoch]

I was a mortgage lender for a long time. I see you acting like an expert. Where did you come up with your claims.

LMAOROG



Get real Cupcake

Examining the big lie: How the facts of the economic crisis stack up​

https://archive.ph/20200215001736/https://www.washingtonpost.com/business/examining-the-big-lie-how-the-facts-of-the-economic-crisis-stack-up/2011/11/16/gIQA7G23cN_story.html#selection-763.0-826.0

MY OLD FORUM ON IT

Thread 'FACTS on Dubya's great recession'

Jul 2, 2014

Q When did the Bush Mortgage Bubble start?

A The general timeframe is it started late 2004.

From Bush’s President’s Working Group on Financial Markets October 2008

“The Presidents Working Group’s March policy statement acknowledged that turmoil in financial markets clearly was triggered by a dramatic weakening of underwriting standards for U.S. subprime mortgages, beginning in late 2004 and extending into 2007.”



Q Did the Community Reinvestment Act under Carter/Clinton caused it?


A "Since 1995 there has been essentially no change in the basic CRA rules or...

• Dad2three
• Replies: 481
• Forum: Economy

• 

 

[JonKoch]

The rich do not have the same tax burden as a wage worker. The rich are taxed at a higher rate.

lmaorog

 

[Leo123]

I was a mortgage lender for a long time. I see you acting like an expert. Where did you come up with your claims.

They pull their claims out their butts. I was a real estate appraiser for over 25 years and the claim that Craig committed a crime by telling the bank what he thought his property was worth, was totally ignorant. Almost every appraisal I ever did owner would tell me what they thought the property was worth. I did not have them arrested ha ha.

 

[JonKoch]

Run away again, Robin.

Sorry I've spanked you with verifiable data and credible links Cupcake

 

[Chuz Life]

The rich do not have the same tax burden as a wage worker. The rich are taxed at a higher rate.

That's a fact.

However, that doesn't give me the reason for why it SHOULD be that way.

(Not that I think you are defending it)

 

[Leo123]

They pull their claims out their butts. I was a real estate appraiser for over 25 years and the claim that Trunpfcommitted a crime by telling the bank what he thought his property was worth, was totally ignorant. Almost every appraisal I ever did owner would tell me what they thought their property was worth. I did not have them arrested ha ha. I just said your bank will let you know when they receive my repart.

 

[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.

Yet Dubya pushed the $1 trillion a year mortgage market to almost $4 trillion by 2003, that Clinton too?

 

[Robert W]

LMAOROG



Get real Cupcake

Examining the big lie: How the facts of the economic crisis stack up​

https://archive.ph/20200215001736/https://www.washingtonpost.com/business/examining-the-big-lie-how-the-facts-of-the-economic-crisis-stack-up/2011/11/16/gIQA7G23cN_story.html#selection-763.0-826.0

MY OLD FORUM ON IT

Thread 'FACTS on Dubya's great recession'

Jul 2, 2014

Q When did the Bush Mortgage Bubble start?

A The general timeframe is it started late 2004.

From Bush’s President’s Working Group on Financial Markets October 2008

“The Presidents Working Group’s March policy statement acknowledged that turmoil in financial markets clearly was triggered by a dramatic weakening of underwriting standards for U.S. subprime mortgages, beginning in late 2004 and extending into 2007.”



Q Did the Community Reinvestment Act under Carter/Clinton caused it?


A "Since 1995 there has been essentially no change in the basic CRA rules or...

• Dad2three
• Replies: 481
• Forum: Economy

• 

What did Fannie Mae and Freddie Mac have to do with sub primes?

 

[JonKoch]

None of them were bought by Fannie or Freddie? Link?

DID I SAY NONE WERE BOUGHT BY GSE'S? No Dubya FORCED F/F to buy $440 BILLION in MBS's in 2004 BUT​

​

​

​

Examining the big lie: How the facts of the economic crisis stack up​

•The boom and bust was global. Proponents of the Big Lie ignore the worldwide nature of the housing boom and bust.



•Nonbank mortgage underwriting exploded from 2001 to 2007, along with the private label securitization market, which eclipsed Fannie and Freddie during the boom. Check the mortgage origination data: The vast majority of subprime mortgages — the loans at the heart of the global crisis — were underwritten by unregulated private firms. 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.




•Private lenders not subject to congressional regulations collapsed lending standards. Taking up that extra share were nonbanks selling mortgages elsewhere, not to the GSEs. Conforming mortgages had rules that were less profitable than the newfangled loans. Private securitizers — competitors of Fannie and Freddie — grew from 10 percent of the market in 2002 to nearly 40 percent in 2006. As a percentage of all mortgage-backed securities, private securitization grew from 23 percent in 2003 to 56 percent in 2006

https://archive.ph/20200215001736/https://www.washingtonpost.com/business/examining-the-big-lie-how-the-facts-of-the-economic-crisis-stack-up/2011/11/16/gIQA7G23cN_story.html#selection-995.0-1000.0

 

[JonKoch]

What did Fannie Mae and Freddie Mac have to do with sub primes?

Almost nothing Cupcake. A youtube video from 2008 proves how stoopid u are is all


Financial institutions that produced risky securities were more likely to hold onto them as investments. For example, by the summer of 2007, UBS held onto $50 billion of high-risk MBS or CDO securities, Citigroup $43 billion, Merrill Lynch $32 billion, and Morgan Stanley $11 billion. Since these institutions were producing and investing in risky loans, they were thus extremely vulnerable when housing prices dropped and foreclosures increased in 2007. A final analysis shows that firms that were engaged in many phases of producing mortgage-backed securities were more likely to experience loss and bankruptcy.

What caused predatory lending and securities fraud?​

In a 2015 working paper, Fligstein and co-author Alexander Roehrkasse (doctoral candidate at UC Berkeley)3 examine the causes of fraud in the mortgage securitization industry during the financial crisis. Fraudulent activity leading up to the market crash was widespread: mortgage originators commonly deceived borrowers about loan terms and eligibility requirements, in some cases concealing information about the loan like add-ons or balloon payments.


Banks gave risky loans, such as “NINJA” loans (a loan given to a borrower with no income, no job, and no assets) and Jumbo loans (large loans usually intended for luxury homes), to individuals who could not afford them, knowing that the loans were likely to default. Banks that created mortgage-backed securities often misrepresented the quality of loans.



For example, a 2013 suit by the Justice Department and the U.S. Securities and Exchange Commission found that 40 percent of the underlying mortgages originated and packaged into a security by Bank of America did not meet the bank’s own underwriting standards.4

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

 

[Robert W]

Or even a useage tax.

The more your equipment relies on and wears down infrastructure, (highways, bridges, etc.) Tax accordingly.

That would also be fair.

I never considered that, but a lot of businesses go out of business and of course new ones come up. But it still means the owner must tell the feds what he has and pay them. Sales taxes are damned near invisible plus it would make sure all payers were treated equal and of course the rich spend a lot more so they too would pay on things they buy.

 

[Robert W]

DID I SAY NONE WERE BOUGHT BY GSE'S? No Dubya FORCED F/F to buy $440 BILLION in MBS's in 2004 BUT​

​

​

​

Examining the big lie: How the facts of the economic crisis stack up​

•The boom and bust was global. Proponents of the Big Lie ignore the worldwide nature of the housing boom and bust.



•Nonbank mortgage underwriting exploded from 2001 to 2007, along with the private label securitization market, which eclipsed Fannie and Freddie during the boom. Check the mortgage origination data: The vast majority of subprime mortgages — the loans at the heart of the global crisis — were underwritten by unregulated private firms. 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.




•Private lenders not subject to congressional regulations collapsed lending standards. Taking up that extra share were nonbanks selling mortgages elsewhere, not to the GSEs. Conforming mortgages had rules that were less profitable than the newfangled loans. Private securitizers — competitors of Fannie and Freddie — grew from 10 percent of the market in 2002 to nearly 40 percent in 2006. As a percentage of all mortgage-backed securities, private securitization grew from 23 percent in 2003 to 56 percent in 2006

https://archive.ph/20200215001736/https://www.washingtonpost.com/business/examining-the-big-lie-how-the-facts-of-the-economic-crisis-stack-up/2011/11/16/gIQA7G23cN_story.html#selection-995.0-1000.0

When posters claim it was global, it means they do not know. Housing is not global in the USA.

 

[JonKoch]

They pull their claims out their butts. I was a real estate appraiser for over 25 years and the claim that Craig committed a crime by telling the bank what he thought his property was worth, was totally ignorant. Almost every appraisal I ever did owner would tell me what they thought the property was worth. I did not have them arrested ha ha.

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.
How the Crisis Was Created Without Holding Loans:

• The Originate-to-Distribute Model: Lenders stopped holding loans on their books ("originate-to-hold") and instead sold them off, reducing their accountability for the long-term viability of the loans.

• Declining Loan Quality: The drive for volume led to rampant predatory lending and high-risk loans, including NINJA loans (No Income, No Job, no Assets).

• Securitization and Toxic Debt: Banks packaged these risky, subprime mortgages into Mortgage-Backed Securities (MBS) and Collateralized Debt Obligations (CDOs), often deceiving rating agencies into marking them as safe, high-quality investments.

• Misaligned Incentives: Because lenders made profits on the fees from creating and selling the loans, they were incentivized to create as many as possible, regardless of whether the borrower could pay them back.

• Systemic Spread: By selling these "toxic" loans to investors worldwide, banks allowed the risks from the U.S. housing bubble to corrupt the global financial system, leading to a liquidity crisis when defaults spiked.

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

 

[Robert W]

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.
How the Crisis Was Created Without Holding Loans:

• The Originate-to-Distribute Model: Lenders stopped holding loans on their books ("originate-to-hold") and instead sold them off, reducing their accountability for the long-term viability of the loans.

• Declining Loan Quality: The drive for volume led to rampant predatory lending and high-risk loans, including NINJA loans (No Income, No Job, no Assets).

• Securitization and Toxic Debt: Banks packaged these risky, subprime mortgages into Mortgage-Backed Securities (MBS) and Collateralized Debt Obligations (CDOs), often deceiving rating agencies into marking them as safe, high-quality investments.

• Misaligned Incentives: Because lenders made profits on the fees from creating and selling the loans, they were incentivized to create as many as possible, regardless of whether the borrower could pay them back.

• Systemic Spread: By selling these "toxic" loans to investors worldwide, banks allowed the risks from the U.S. housing bubble to corrupt the global financial system, leading to a liquidity crisis when defaults spiked.

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