Why can't the banks sort this one out?

Question

Regarding the so called housing crisis: Seeing as it was the banks who presided over years of reckless lending have got us into this dire situation why isn't it up to them to help people in mortgage arrears, why is it left to government and tax payers money to clear up their mess?

Answer 1

I do believe that the banks could be more lenient to borrowers who are experiencing problems but in reality most lending institutions are already providing assistance in one way or other. Borrowers need to prioritise their spending needs and concentrate on ensuring that their most essential needs are accommodated for. Many people continue to spend money on non essential items and live in hope with regard to their mortgages etc. In reality the Government will be assisting a small proportion of the population.

Answer 2

If only. I'm surprised how little comeback the Banks and the City have had over this crisis. It goes to show the power big business has, no government would ever be allowed to get away with this behaviour. Gore Vidal once said the US was no longer a democracy but a Corporate state, same goes for us.

Hi, Dr W., you too.

Answer 3

EXACTLY, Over a period of 7 days my wife took11 different letters wanting us to borrow money even if we had judgements against us,and could not make ends meet.It must have been hard to refuse for many. And giving up to 130% mortgages. So i have no sympathy with the banks or other financial service,that brought this on themselves.  

Answer 4

"By crashing our economy the FOREIGN interests will be able to basically buy our country for pennies on the dollar, effectively taking over our country with out firing a shot."

Massive hypocrisy here -  the US has crashed other, democratic, countries industries by cynical manipulation of so called free market while operating behind anti-freemarket trade barriers itself

Answer 5

Agree, but the banks have no money, so there is no way they will let people fall too far into arrears, if they do, then they'll reposess, sell the house and get their money back.

Cruel but life.

Answer 6

They can't sort this out easily because the mistakes they made were so daft and batty most can't believe they employed these guys in the first place.

Most of them who helped cause the crisis, in case you wondered, have taken the money and had gone long before the fan got hit. They did very well, thank you.

It just means that the mugs like you and I have the rest of our lives paying for their stupidity (or their cleverness, if you get my meaning)

Answer 7

Its because this was engineered to happen. The Fed is an illegal bank that is operated by FOREIGN governments, our currency is debt driven and not backed by anything tangible. By crashing our economy the FOREIGN interests will be able to basically buy our country for pennies on the dollar, effectively taking over our country with out firing a shot.

If you really want to learn the answer to this question, read the book 'The Creature From Jeckyl Island' its about when, why and how the Fed was set up. Just remember, if you think your mad about this now, after you read this book you'll be really pissed.