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codingrocks t1_je056vn wrote

Reply to comment by NRA-4-EVER in 08 crash part 2? by Challenge4Ufloyd

Because the lenders are responsible for screening each individual to ensure they are solvent and have means of generating income to meet all their financial responsibilities

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NRA-4-EVER t1_je05qdu wrote

So there's no responsibility by the person signing a contract? And was anyone defending the lenders when they didn't relax their policies and were being called racist? No, the lenders exist in the same world we do, with the same pressures to conform to society even if society is insane.

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nova_demosthenes t1_je06zag wrote

Sub prime mortgages didn't cause economic catastrophe in 08. The deliberate falsification of the rating of bundled mortgages in CDOs, which was done by the banks and ratings industries, did. This was further compounded by the derivatives market - all overwhelmingly at the institutional level.

The mortgage signers had nothing to do with that.

Then rather than being unwound, those institutions that realized this dumped their toxic assets onto other institutions, which then failed. Those failed institutions were then sold off to the larger institutions.

So no, this isn't the fault of lendees with bad money sense.

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NRA-4-EVER t1_je0908w wrote

Why were the assets toxic??? If the "lendees" didn't sign up there wouldn't have been toxic assets.

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nova_demosthenes t1_je09fep wrote

Because they were bundled and given falsely inflated ratings. Have you even looked into this issue?

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NRA-4-EVER t1_je0bhe3 wrote

I don't care what rating you give them, once interest rates went up they were destined to default. Whomever was holding them would get hosed. The loss would have fallen on the banks the wrote them if they hadn't sold them, the massive loss would still have occurred, just affecting the original lenders. You obviously looked into it as far as the final reports written by biased observers that want to blame specific people. It's an agenda based conclusion.

Bottom line is there would not have been an issue if the loans never occurred. It took two parties to create the loans. Both are guilty, but you can actually trace the original cause of why the banks pushed to get more minority loans, and it too goes back to political agenda.

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nova_demosthenes t1_je0eqod wrote

You can't be this regarded.

If I convinced someone to pull the pin on a grenade, hid the grenade in a box with 5 pinned grenades, then sold the box to someone after telling them "these are all safe," the person who pulled the pin is not the most culpable.

Of course bad loans were being written because the people writing them knew they wouldn't default under their ownership.

You are one dim witted, gullible person and you deserve to have your country's economic future robbed from you.

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NRA-4-EVER t1_je0l4i0 wrote

You basically just called the "lendees" too stupid so they're not responsible for their actions. BRILLIANT!

Then you attack me personally. SMART!

Personal attacks are the sign of a winning argument. PATHETIC!

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nova_demosthenes t1_je0llga wrote

Look, you're going to be angry. It's a common defensive mechanism to perceived embarrassment. I'm only trying to teach you.

Think it over for a few days. Only one group of people lost in 08.

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NRA-4-EVER t1_je0o6m4 wrote

Angry? You're the one throwing insults instead of facts. It's a technique used by people that have no real facts to buttress their insipid arguments. I mean calling poor people too stupid to understand their actions just to ignore their own personal greed and desire for instant gratification.

You're clearly frustrated with your life to try and insult strangers on the internet, what a sad world you must live in. Lolz

Feel free to reply with more personal attacks, I'll just let you go. 🤣

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