@TheCobbler,
You mean he reversed a rule that wasn't passed by Congress? Again?
Quote:Who makes money from new mortgages? The banks?
Yes, the people who lend them the money. It's the way it has worked for a very long time.
Quote:New mortgages make the principle payments go up and interest goes up and eventually more houses get foreclosed. Maybe people should suffer instead and learn to live within their means?
You really don't know how mortgages work do you? When you get a loan, it is usually a fixed 30 year mortgage. Fixed means the interest doesn't change. If you get a fixed 2.5% for 30 years, it is exactly what it sounds like, it stays at 2.5% for the next 30 years.
What you are referring to is an A.R.M.: Adjustable Rate Mortgage. That can have a shift on the interest rate, but it is the responsibility of the person who gets the mortgage to know when the ARM is set to raise and refinance prior to the interest going up. That was a major issue when the housing bubble burst, people didn't pay attention and didn't refinance their loans to a fixed rate.
Quote:Mortgages are a tool used by banks to confiscate land by lending beyond people's means to pay back.
Sure, that's their aim. They love to loose money on business transactions, because that is what happens when someone forecloses. That bank takes it over and tries to get what is owed to them, which depends on how much the house gets at auction, which is usually less than what is owed to them. No one wins on a foreclosure. The only reason banks loan to people who can't afford the house is because of govt regulations. Given their own way, the banks would be very selective on who they loaned money too. After all, you don't loan money to loose money, you loan money to make money.
Quote:Equity is nothing more than a scam. And when "landlords" take out mortgages the interest and principle payments are passed off to their already overcharged tenants.
Equity is not a scam, it's the way leftists want to use equality that is the scam. So you don't want anyone to make any money but those you deem fit? Their way doesn't fit the way you think things should be run, so they are a scam? Do you always want something for nothing?
Quote:Am I missing something here?
Yes, a basic understanding of how things work.
Quote:Improve your credit score rating so you can become a slave to high interest and the banks.
That is a choice everyone makes. No one makes you get a credit card, no one makes you take an expensive vacation to the Bahama's. No one makes you go buy a house you can't afford. Those are all choices people make. According to you, it sounds like everyone has a gun to their heads.
Quote:Make it easier to max out credit cards?
People should be cautious with their spending. Emergency's happen but also not going out and buying a $2000 TV on a credit card that only has $2500 available on it isn't a good choice.
BTW, did you know that the money collected from those fee's is put into a fund to help others buy houses on that same program? Also as of 2013, that program had to go to congress and ask for money.
