> Dana wrote: > That is the case for some people. Other people were definitely lied to. >
Certainly, but only in the sense that they were told breaking the law would be ok or that their sheet metal lean-to was really worth $10B. The point is, the problem was not lenders selling one thing and giving another; i.e., an ARM's an ARM. The lender may have sugar-coated the risk but the borrower still signed the paper that said when interest rates went up, their payment would go up. The lenders that are going to jail are going to jail because they violated their responsibility to manage risk. That happened because of credit derivatives and greed. When you remove the risk from a lender, they tend to lend take on more risk - which means they tell your little old lady that her house is worth $10B and she should borrow all of that value on an ARM and - don't worry - you'll be able to afford it. So, yeah, those are lies, but the little old lady still signed a too-good-to-be-true document and should've known better. Buyer beware. ~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~| Adobe® ColdFusion® 8 software 8 is the most important and dramatic release to date Get the Free Trial http://ad.doubleclick.net/clk;203748912;27390454;j Archive: http://www.houseoffusion.com/groups/CF-Community/message.cfm/messageid:262816 Subscription: http://www.houseoffusion.com/groups/CF-Community/subscribe.cfm Unsubscribe: http://www.houseoffusion.com/cf_lists/unsubscribe.cfm?user=89.70.5
