Comments on: GOP Senators Pressured Bailed Out Banks To Not Compromise On Cram-Down Bill

By: PSP

PSP — Tue, 28 Apr 2009 21:05:03 +0000

Robert Card misunderstands.

Cram down means that the homeowner gets his mortgage principal reduced to the fair market value of the collateral, typically more than the liquidation value, or what the bank would otherwise receive in a foreclosure. The bank takes the paper loss (the equity in the collateral is already gone, the bank is just forced to acknowledge it). Businesses and commercial property owners already have the right to do this to their secured debt.

None of Mr. Card’s money goes to bail out the homeowner.

If the bank needs a bailout, it gets less of his tax money than it would have needed after a foreclosure, because fair market value is more than liquidation value. Even better for Mr. Card’s tax money and personal wealth, preventing a foreclosure decreases the supply of houses on the market, thus increasing fair market value of the debtors’ houses, and Mr. Card’s too.

By: robert card

robert card — Mon, 27 Apr 2009 06:04:57 +0000

what kind of crap is this?? CRam down???

I pay my mortgage, I save my money,
now you want my taxes to pay some other guys mortgage???

Give me a break. Who thought up this stupidity??

Let those who were stupid go broke and lose their houses.

If you want to go after someone, go after the idiots that caused the mess. Leave me alone. I saw it coming..

As far as credit cards – probably they need to be monitored further to stop abuses by the bankers – that would make some sense.

By: e

Sat, 25 Apr 2009 03:50:32 +0000

eff!
what a worthless bunch of millionaires.

By: stateofthedivision

stateofthedivision — Fri, 24 Apr 2009 23:41:59 +0000

The big money boys are cramming each other down left and right. But the little guy having any power? Nah!