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View Diary: Citibank fails to prove Mortgage Ownership, in Foreclosure Suit (48 comments)

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  •  more on the recent Senate findings of (5+ / 0-)

    systematic Mortgage Fraud ...

    Was Bernie Madoff the Exception or the Rule?
    Robert L. Bororsage -- Apr 14, 2010

    The Levin hearings show that WaMu systematically peddled loans to people it knew could not pay them back. This wasn't an accident.
    According to the FBI, 80% of mortgage fraud is committed by the lender. We're not talking about stupid loan officers allowing borrowers to get away with something crazy that is bad for the bank. We're talking about clever loan officers pushing fraudulent documents in order to score bigger paychecks, and bank executives looking the other way so that they can keep getting big paychecks from the securitization machine.

    This isn't a problem unique to WaMu. This is how the U.S. mortgage system operated for half a decade. WaMu particularly pushed predatory option-ARM loans, loans with an initial monthly payment so low that it often didn't even pay off the interest on the loan. Then after a couple of years, the monthly payment explodes -- and the loan becomes unaffordable.

    as reported here:
    Mortgage Fraud -- just another Scheme of the Shadow Bankers
    by jamess -- Apr 15, 2010

    All Ponzi schemes are built on some sort of Lie:

    "We always beat the Market!"

    "The Price of Housing will always Go Up."

    "Don't worry about that fine print -- you'll flip this House, WAY before that kicks in."

    Loan Officers and Bank Presidents are trained professionals -- average want-a-be Home Owners -- ARE NOT!

    Regulators are there -- to Protect WHO, again?

    The press is impotent when it abandons itself to falsehood. --Thomas Jefferson to Thomas Seymour, 1807

    by jamess on Fri Oct 01, 2010 at 05:05:54 PM PDT

    [ Parent ]

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