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View Full Version : Money the subprime mortgage problem explained


KC Jones
07-12-2008, 10:00 AM
Watch it - it's funny

http://www.businesspundit.com/sub-prime/

I wasn't sure whether to laugh or cry. So, is everybody ready to help bail this mess out?

phillip
07-12-2008, 11:31 AM
lol. I'm interning in the foreclosure department of legal aid this summer. This is what I deal with all day, every day.

little jacob
07-12-2008, 01:30 PM
who knew writing mortgages for people who had no money for a down payment, couldn't take an interest rate increase, and couldn't verify income could be a bad idea.

jjchieffan
07-12-2008, 02:47 PM
I bought my house about 3 1/2 years ago. I had a bankruptcy discharged in the past year, so my rate was 8.5%. My lender offered me a ARM for 6.5%. I knew interest rates had nowhere to go but up and stuck with my fixed. I figured I could refinance in a few years either way, but why take that chance. Seeing what has happened to people who did, I am really glad that I stuck with the fixed. My job situation has changed for the worse, and my credit has suffered, so refinance is not an option. If my payment had gone up, I would be screwed.