It may have taken years to get any publicity about the loans nicknamed “NINJA” (No Income, No Job, No Assets) and LIAR (where a lender does not require “documentation” of employment, income or credit history) but now that these loans have been publicized one might imagine that the Congress would “prohibit” lending institutions from continuing to follow the practices that allowed these loans to be issued.
Watch how this got started: http://www.foxnews.com/video-search/m/20997113/blame_game.htm?q=blame+game
If you assume that such a prohibition would be included in a $700 Billion bailout, your wrong.
The Boston Federal Reserve wrote a Manual to provide “Mortgage Underwriting Guidelines”. Those guidelines “loosened” the traditional practices used to determine who qualified for a mortgage and how much they could borrow. READ THE INTERESTING STORY HERE: http://www.foxnews.com/story/0,2933,424945,00.html
Fannie Mae and Freddie Mac actually used these guidelines to threaten banks with litigation if they did not adopt the ideologically developed guidelines. You might ask which banks were the biggest supporters – you could start with Countywide and run down the list to Bear Stearns. They are all gone now and we, the Taxpayers, are being asked to pick up the bill …. http://www.foxnews.com/story/0,2933,424945,00.html
The Democrats refuse to acknowledge that “NINJA” and “LIAR LOANS” need to end - They won’t admit that there great ideologic experiment has failed.
While there may have been all sorts of other horrendous behaviors associated with this Crisis, the Crisis started with handing out bad loans.
If we don’t stop handing the bogus loans that caused this Crisis in the first place, Congress might as well throw our $700 Billion down a rat hole.
To use a medical anology – the proposed “Bailout” treats the patients symptoms but not the illness. The patient will look better, but the disease will kill the patient if the real disease isn’t treated. You can’t cure a cancer with aspirin.
Contact Your Congressperson & Senator And Tell Them No More NINJA Or LIAR LOANS:
Contact Your Senators Here: http://www.emailyoursenator.com/senators.html Click on your Senators, Select the Contact Folder and then click on the email address.
Contact Congresspeople: http://www.house.gov/zip/ZIP2Rep.html You’ll need your zip code
Filed under: Bailout, Bailout Negotiations, Bailout Opposition, House Republicans, John McCain, LIAR Loans, NINJA Loans | Tagged: Bailout, Bailout Opposition, House Republicans, John McCain, LIAR Loans, NINJA Loans | 1 Comment »