The racism of foreclosure, and $700 Billion taxpayer dollars went to banks!

[Fire Walk With Me]

Crossposting this because it is otherwise buried in a long thread and it deserves discrete attention:

To Save Their Home, Van Nuys Family Joins With Activists To Erect 'Fort Hernandez'

http://laist.com/2012/09/25/fort_hernandez.php#photo-1

"As of August 2012, one in every 681 American homes is in foreclosure, according to RealtyTrac. Statistics show about 4 million families lost homes to foreclosure since the start of the crisis in December 2007, and millions more are in danger. According to RealtyTrac, there are hundreds of homes in the Hernandez's ZIP code in the foreclosure process.

The housing crisis and ensuing economic fallout rolled back hard-won progress for Latino and black communities, draining untold wealth from neighborhoods. Van Nuys is roughly 60 percent Latino, according to a 2009 Los Angeles Times survey. A 2010 study by the Center for Responsible Lending showed black and Latino families were specifically vulnerable to predatory loans. They were a whopping 70 percent more likely to suffer foreclosure than whites.

snip

In the meantime, the federal government used $700 billion in public funds to rescue banks who'd given out the failing home loans."

(Much more at the link.)

[porphyrian]

1. . n/t

[dkf]

2. I don't really get the argument against the banks giving these loans at least not from the owners

Perspective. Are we saying they should have been renters all along? Why then are we pushing to keep them in houses they can't afford?

[sabrina 1]

3. Maybe you should read up on the mortgage crisis and what caused so many people

to lose their homes. Apparently you are not familiar with this issue.

Back in 2005 eg, the FBI alerted the Government that there was crime involved in the mortgage industry and that it was widespread. They asked for more staff to enable them to investigate more thoroughly. Instead the Bush administration removed agents from the job and put on 'terror' duty.

Iow, there was huge fraud going on and it was covered up by the Bush administration for several years. People lost their homes illegally in many cases. It is probably one of the biggest financial crimes in the history of this country.

There should have been a moratorium on all foreclosures once the problem was exposed, but Congress appears to be very reluctant to do anything that will upset the criminals in our economic system.

It's clear that the American people are no concern of Congress when it's a case of them versus Wall Street.

[dkf]

4. They illegally got their loans. That means they never should have bought it.

In a world of proper lending they would have not been in that house.

[Fire Walk With Me]

5. The banks did the illegal loans. The customers were good-faith victims. The banks also

took out insurance on the loans, betting they'd default, and collected extra money in this manner.

THEN they got our tax dollars in a bail-out.

[Fire Walk With Me]

6. Evening kick.

[Fire Walk With Me]

7. Morning Kick.