Sunday, October 17, 2010, AM | 3 Comments
In one of the previous posts, I said one of the things that has flourished in this lousy economy is the blaming industry. Wall Street executives put the blame on home owners for the foreclosure fiasco. Some said the issue is one of personal responsibility for one’s own debts. Can their blame remove the responsibility from the shoulders of the banks and the “robo-signers” entirely? I don’t thinks so.
The “robo-signers” sitting behind the desks are a disgrace to the financial lending institutions. Robo-signers is the term for bank employees who signed hundreds of foreclosure documents daily without reviewing them. Would we ever know if senior executives were involved as well? Perhaps not.
The time has probably come to look at the whole process of lending money, the bankruptcy and the resulting foreclosures from inside out. There seems to be something wrong about the system. When it is said that it’s a free country, that does not give anybody the right to do as they please.
The rule of law must prevail in a society. It can prevail only when folks respect the law. Folks at any level whether they are working behind the desks in a bank lending and foreclosing on mortgages without looking at the papers or senior executives running the companies must respect and obey the law.
If anyone disagrees, the only way to change a law is by legislation and not by some artificial hooks and nooks which have been going on for too long. It’s about time the Congress of these United States did something about it. Out of court settlement and sending crooks to jail is one thing, but the whole process of lending and potential foreclosing on mortgages must be examined from the bottom up.
Too many folks have been hurt. Too many good and decent folks.
Wall Street’s reaction to the allegations that some banks cut corners while foreclosing on 3 million homes since 2007: Pay your mortgage in the first place.
I don’t disagree with the fact that millions of folks borrowed money according to their wishes instead of their needs. During the times when credit was readily available to almost anybody, they didn’t look deep inside themselves whether they actually needed the amount they were borrowing. They were slaves to their wishes. I guess we all are one time or another. We had captured a genie in a bottle. Whatever loan we wished, we got it.
Folks would say “open sesame” and the financial doors of the nation would wide open to them. They didn’t care for their legitimate needs. I agree with Wall Street executives when they put the blame on the home owners. But that does not remove the responsibility from the lending institutions in general and the “robo-signers and their managers” in particular.
One commenter said…
This is very funny to me. The banks that were bailed out of this mess with little or no consequences are the ones saying “you should be paying your mortgage”. The same banks that took billions only to sit on it to collect investment dollars.
In a Nutshell
Whatever the new financial laws have been put in place recently, I hope they are not just patches but a genuine financial system that is equally implemented on all – may they be lenders or borrowers.