On Jul 10, 2010, at 12:25 PM, Jim Devine wrote:

> FWIW, the idea of relationship banking ... the adverse
> selection and moral hazard problems with loan markets.

My wife and I are in what we hope are the final days of a hellacious home 
escrow. All the loan and real estate folks point at changes since 911 as the 
root of the problem in the loan process. We, however, have the sense that the 
banks are trying desperately to prove they are most virgin of banks. Just as 
someone who gets a speeding ticket may well hold up traffic for a couple of 
weeks playing it safe, the banks seem to be proving to themselves that they 
didn't get caught with their greedy hands in the national cookie jar. It's led 
to surrealistic demands like bank-certified copies of blank pages in monthly 
statements. Very weird. And generally rude.

Trickle down at work.

Dan
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