March 18, 2007
The Mortgage Crisis - This is not a new story
I remember seeing a report on one of the news magazine shows a couple of years ago about the huge number of people around the country, but especially in the west who took out these sub-prime mortgages. The concern at the time was that a day of reckoning was going to come. The housing market would eventually change, and folks would suddenly be hit with huge payments, something their paychecks could not cover. I seem to recall that it made the news for a few days then disappeared, as most important news items do in this MTV world. No one paid much attention, until now. And suddenly it is the banks fault. (Reuters)
It is hard to blame everyone who took out these loans, but buying a home is serious business. One borrows a tremendous amount of money. I would think that you should always have a CPA or lawyer review the terms before signing. I feel extremely bad for anyone who might have to default, but this is partly their own fault.
Many people accepted complex mortgages to buy homes that were probably out of reach, but deals such as 100-percent financing and adjustable-rate mortgages that initially carried low monthly payments encouraged excess, critics contend.
"The quality of the loan has everything to do with this crisis," said Josh Nassar, vice president for federal affairs at the Center for Responsible Lending in Washington.
Among the biggest culprits were the so-called "2-28" loans that offered low interest rates and payments for the first two years, but then spiked up. Many borrowers misunderstood the terms or thought they could refinance, and found themselves stuck with mortgages that they could no longer afford.
Buying a house is serious business. One is borrowing a tremendous amount of money to purchase a home. I would think that in such a situation a potential buyer would have the agreement reviewed by a CPA or lawyer. As bad as the mortgage lenders may be, they are not the only ones to blame here. I feel very bad for anyone who might have to default on their mortgage, but they need to accept some of the responsibility.
Posted by Chip Spear at 12:14 PM
May 4, 2006
Contractors Overbill Govt. Billions of Dollars - Surprised?
At this point, no one should be the slightest bit surprised by this development. (AP). It is only $63 Billion.
Posted by Chip Spear at 9:43 PM | Comments (7)
May 3, 2006
Health Insurance tries for Big Score
The health insurance industry has their sights set on another big score from Congress. If passed, the bill will be a huge windfall for insurers and a disaster for most Americans. Does that sound familiar? It should. You can read more about it here.
Posted by Chip Spear at 9:51 AM | Comments (1)
March 8, 2006
Molly Hits it Long and Straight
Molly Ivins hit the Democrats good and hard, as she loves to do, here She is not hesitant to call them spineless, money-grubbing snakes, little better than the Republicans.
I can't see a damn soul in D.C. except Russ Feingold who is even worth considering for President. The rest of them seem to me so poisonously in hock to this system of legalized bribery they can't even see straight.
Look at their reaction to this Abramoff scandal. They're talking about "a lobby reform package." We don't need a lobby reform package, you dimwits, we need full public financing of campaigns, and every single one of you who spends half your time whoring after special interest contributions knows it. The Abramoff scandal is a once in a lifetime gift - a perfect lesson on what's wrong with the system being laid out for people to see. Run with it, don't mess around with little patches, and fix the system.
Posted by Chip Spear at 2:13 PM | Comments (0)
February 28, 2006
Apple Scores
I read the news and had a smile on my face. Apple continues to open doors, expand beyond what we expect. It is innovative and clever. It is not perfect, but it always seems to create products that stand out in a market known for invention. One is hard pressed to think of another "computer" company who is as creative and well known for design and innovation. After reading the article here, go to Apple's website.
Apple Computer Inc. (Nasdaq:AAPL - news) on Tuesday introduced a new iPod "Hi-Fi" home stereo system and a new Mac mini powered by an Intel (Nasdaq:INTC - news) chip the company said was nearly five times faster than the previous version.....
Apple also introduced on Tuesday a new Mac mini with a single core Intel chip as much as three times faster than the previous version. He also said the Mac mini with an even more powerful dual core Intel chip was nearly five times as fast as the previous version.
The Mac mini is Apple's entry level machine aimed at people who already have a computer or are thinking about replacing one because it is sold without a monitor, keyboard or mouse.
Posted by Chip Spear at 3:04 PM | Comments (0)