Comments on: Mortgage Meltdown, It's Not Just For Subprime Anymore http://housingdoom.com/2007/11/14/mortgage-meltdown-isnt-just-for-subprime/ Sat, 11 Feb 2012 07:12:54 +0000 hourly 1 http://wordpress.org/?v= By: twist http://housingdoom.com/2007/11/14/mortgage-meltdown-isnt-just-for-subprime/#comment-8681 twist Thu, 15 Nov 2007 00:21:34 +0000 http://housingdoom.com/2007/11/14/mortgage-meltdown-isnt-just-for-subprime/#comment-8681 Brucewho- I've thought about that. Can you imagine if you bought a home for $300K, 20% down 30% fixed when your neighbor used some wonky loan. So now the neighbor is behind, can't handle the reset, so the lender modifies his loan so now he only owes $250K. If I were the sensible guy next door, I'd be suing to have my loan modified too. Why should I have to pay $50K more just because I don't get in over my head and pay my bills on time? I expect this will be a very big Pandora's box. Brucewho-

I’ve thought about that.

Can you imagine if you bought a home for $300K, 20% down 30% fixed when your neighbor used some wonky loan. So now the neighbor is behind, can’t handle the reset, so the lender modifies his loan so now he only owes $250K.

If I were the sensible guy next door, I’d be suing to have my loan modified too. Why should I have to pay $50K more just because I don’t get in over my head and pay my bills on time?

I expect this will be a very big Pandora’s box.

]]> By: brucewho http://housingdoom.com/2007/11/14/mortgage-meltdown-isnt-just-for-subprime/#comment-8680 brucewho Thu, 15 Nov 2007 00:15:12 +0000 http://housingdoom.com/2007/11/14/mortgage-meltdown-isnt-just-for-subprime/#comment-8680 Subprime bailouts: Chump check Responsible loan payers are crying foul about the breaks that delinquent borrowers are getting. This fight is just beginning. I would expect class action suits will be filed. http://money.cnn.com/2007/11/01/real_estate/Countrywide_bail_out_bashers/index.htm?postversion=2007110513 Subprime bailouts: Chump check

Responsible loan payers are crying foul about the breaks that delinquent borrowers are getting. This fight is just beginning.

I would expect class action suits will be filed.

http://money.cnn.com/2007/11/01/real_estate/Countrywide_bail_out_bashers/index.htm?postversion=2007110513

]]> By: JimAtLaw http://housingdoom.com/2007/11/14/mortgage-meltdown-isnt-just-for-subprime/#comment-8679 JimAtLaw Wed, 14 Nov 2007 18:05:01 +0000 http://housingdoom.com/2007/11/14/mortgage-meltdown-isnt-just-for-subprime/#comment-8679 You know what I find interesting about the whole thing? Why does your credit score get dinged for inquiries? This keeps you from shopping around for credit on good terms because if 20 different lenders run your credit score, your credit score drops like a rock between the 1st and the 20th, and then you can't get new credit! It seems like the credit scoring companies are in bed with the banks and each other, deliberately conspiring to keep people from shopping for the best available credit terms. Not that I'm usually the first to say this, but maybe the law should be changed to prevent this - it should not reflect badly on your credit score that you are shopping for better terms, and for agencies to downgrade you on this basis is distinctly anti-consumer. You know what I find interesting about the whole thing?

Why does your credit score get dinged for inquiries? This keeps you from shopping around for credit on good terms because if 20 different lenders run your credit score, your credit score drops like a rock between the 1st and the 20th, and then you can’t get new credit!

It seems like the credit scoring companies are in bed with the banks and each other, deliberately conspiring to keep people from shopping for the best available credit terms. Not that I’m usually the first to say this, but maybe the law should be changed to prevent this – it should not reflect badly on your credit score that you are shopping for better terms, and for agencies to downgrade you on this basis is distinctly anti-consumer.

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