Wells Fargo settles over its sub-prime racism

[Razgovory]

I take it that what I said to you didn't stick, and that you don't feel like answering my question.

[Admiral Yi]

I thought your question was roughly analogous to offeing a draw when I've got your queen and king pinned.

[CountDeMoney]

I blame both.  You needed willing borrowers and willing lenders for the crisis.

I don't see how these lenders had management that allowed this sort of thing.  I don't blame bad borrowers for wanting something, but lenders should be held to a standard by their companies.  I know in my business, I wouldn't have allowed that kind of money to float out there like that. 

It's just like a bail.  Pookie's Moms wants to bail out Pookie on a $100K bail.  Now, I don't blame her for wanting to bail out Pookie, because that's what Moms do, but Moms has only $1,500 and no job, so she's a shitty signer.  Now, if I take the money, I have my cut:  but how the hell is my boss going to expect me to collect the outstanding $8,500 from a signer that doesn't have a job?  He'd have my balls for breakfast.  Where were these lenders' bosses?  Where was the oversight?  How the hell do you write a mortgage for applicants you know can't pay it off?

These people took money on bad applicants they knew didn't have the means to pay it off, but they took it anyway.  That's just being a shitty lender.  I don't blame deadbeats for being deadbeats, especially when you know you're dealing with a deadbeat, and you know damned well they'll take what they can get, if they're told they're OK.  You're supposed to protect your company's money from deadbeats. 

Why the hell none of these people never got fired is beyond me.

How does a mortgage to an 80 year old work?

Hopefully not without a power of attorney.

[Admiral Yi]

I don't see how these lenders had management that allowed this sort of thing.  I don't blame bad borrowers for wanting something, but lenders should be held to a standard by their companies.  I know in my business, I wouldn't have allowed that kind of money to float out there like that. 

It's just like a bail.  Pookie's Moms wants to bail out Pookie on a $100K bail.  Now, I don't blame her for wanting to bail out Pookie, because that's what Moms do, but Moms has only $1,500 and no job, so she's a shitty signer.  Now, if I take the money, I have my cut:  but how the hell is my boss going to expect me to collect the outstanding $8,500 from a signer that doesn't have a job?  He'd have my balls for breakfast.  Where were these lenders' bosses?  Where was the oversight?  How the hell do you write a mortgage for applicants you know can't pay it off?

These people took money on bad applicants they knew didn't have the means to pay it off, but they took it anyway.  That's just being a shitty lender.  I don't blame deadbeats for being deadbeats, especially when you know you're dealing with a deadbeat, and you know damned well they'll take what they can get, if they're told they're OK.  You're supposed to protect your company's money from deadbeats. 

Why the hell none of these people never got fired is beyond me.

I agree with virtually everything you wrote.  But a deadbeat is not a victim.  And I'm not going to be sympathetic when Pookie's mom cries to the press that she was tricked into putting up bail.

[CountDeMoney]

I don't see how these lenders had management that allowed this sort of thing.  I don't blame bad borrowers for wanting something, but lenders should be held to a standard by their companies.  I know in my business, I wouldn't have allowed that kind of money to float out there like that. 

It's just like a bail.  Pookie's Moms wants to bail out Pookie on a $100K bail.  Now, I don't blame her for wanting to bail out Pookie, because that's what Moms do, but Moms has only $1,500 and no job, so she's a shitty signer.  Now, if I take the money, I have my cut:  but how the hell is my boss going to expect me to collect the outstanding $8,500 from a signer that doesn't have a job?  He'd have my balls for breakfast.  Where were these lenders' bosses?  Where was the oversight?  How the hell do you write a mortgage for applicants you know can't pay it off?

These people took money on bad applicants they knew didn't have the means to pay it off, but they took it anyway.  That's just being a shitty lender.  I don't blame deadbeats for being deadbeats, especially when you know you're dealing with a deadbeat, and you know damned well they'll take what they can get, if they're told they're OK.  You're supposed to protect your company's money from deadbeats. 

Why the hell none of these people never got fired is beyond me.

I agree with virtually everything you wrote.  But a deadbeat is not a victim.  And I'm not going to be sympathetic when Pookie's mom cries to the press that she was tricked into putting up bail.

But more importantly, lenders aren't victims, either.  But guess who gets the taxpayer-funded bail outs, who doesn't get to be held accountable, who keeps doing business as usual?


Meh, fuck it, who am I kidding.  I would've taken the money, tell her the insurance company had a problem, taken more money, tell her the jail had problems with the paperwork, taken more money, and then popped his ass the day after prelim and get his ass back on the street slinging for me until it's paid off, or Moms goes to jail.  No, of course she can't go to jail, but they don't know that.  Just like they don't know what the fuck an adjustable rate mortgage is, either.

[Admiral Yi]

But more importantly, lenders aren't victims, either.  But guess who gets the taxpayer-funded bail outs, who doesn't get to be held accountable, who keeps doing business as usual?

Let's see.  Anyone who held bank bonds was not held accountable.  Generally we're talking about pension funds, 401k type investment funds, and insurance companies.  Anyone who had a deposit account that exceeded the FDIC limit was not held accountable.  My guess is those were mostly small and medium sized businesses.  Counterparties to AIG's massive CDS portfolio were not held accountable.  That's the big pot of free money, and if you want to be taken seriously when talking about the bailout, you should focus on that.  The largest banks had the privilege of borrowing money at 15 1/2 % and their shareholders had the priviledge of having their ownership diluted by around 10%.  If you were forced by the government to borrow money at 15.5% would you feel equally blessed and stop whining so much? 

To continue, Lehman Bros, Bear Stearns, IndyBank, Washington Mutual, Merryl Lynch, Countrywide, and a host of smaller regional and local banks were held very much accountable.   Freddie and Fannie shareholders were held completely accountable.

[Kleves]

Why the hell none of these people never got fired is beyond me.

You don't seem so upset at Wells Fargo's alleged racism as you are that they lent money to black people at all.

[CountDeMoney]

To continue, Lehman Bros, Bear Stearns, IndyBank, Washington Mutual, Merryl Lynch, Countrywide, and a host of smaller regional and local banks were held very much accountable.   Freddie and Fannie shareholders were held completely accountable.

And thank Christ for that.  WaMu deserved everything they got.

[CountDeMoney]

You don't seem so upset at Wells Fargo's alleged racism as you are that they lent money to black people at all.

They hold my mortgage, so I'm torn.  They gave me the white person rate, so I really can't bitch.

[Admiral Yi]

They gave me the white person rate, so I really can't bitch.

Did they do the interview over the phone, or was the loan officer blind? 

[CountDeMoney]

They gave me the white person rate, so I really can't bitch.

Did they do the interview over the phone, or was the loan officer blind? 

I'm very articulate and well-spoken. 

[Neil]

I blame both.  You needed willing borrowers and willing lenders for the crisis.

I don't see how these lenders had management that allowed this sort of thing.  I don't blame bad borrowers for wanting something, but lenders should be held to a standard by their companies.  I know in my business, I wouldn't have allowed that kind of money to float out there like that. 

It's just like a bail.  Pookie's Moms wants to bail out Pookie on a $100K bail.  Now, I don't blame her for wanting to bail out Pookie, because that's what Moms do, but Moms has only $1,500 and no job, so she's a shitty signer.  Now, if I take the money, I have my cut:  but how the hell is my boss going to expect me to collect the outstanding $8,500 from a signer that doesn't have a job?  He'd have my balls for breakfast.  Where were these lenders' bosses?  Where was the oversight?  How the hell do you write a mortgage for applicants you know can't pay it off?

These people took money on bad applicants they knew didn't have the means to pay it off, but they took it anyway.  That's just being a shitty lender.  I don't blame deadbeats for being deadbeats, especially when you know you're dealing with a deadbeat, and you know damned well they'll take what they can get, if they're told they're OK.  You're supposed to protect your company's money from deadbeats. 

Why the hell none of these people never got fired is beyond me.

Since they can take the house if the loan isn't paid, how much money would they lose on the occasional foreclosure?  I mean, I know they got scalped because foreclosing everybody resulted in a crash in land values, but if they were just foreclosing here and there, wouldn't they still make money?  Could that be why their bosses gave them the thumbs up to approve anybody with a pulse?

[alfred russel]

I find it hard to believe that there were racist policies at big banks driving lending decisions. It seems more plausible that in the clusterfuck legal system we have, unsympathetic deep pocketed defendants are crazy to go to trial against sympathetic plaintiffs, no matter how little culpability they have.

[derspiess]

"By the time she realized she had an adjustable-rate mortgage, and not the fixed rate she thought, it was too late," Perez said. "The damage was done."

Thank God the government was there to ensure she did not have to take any responsibility for reading or understanding anything.

No shit. 

I think it's funny how Seedy thinks other people are racist for not having the same low expectations he has of black people.

[CountDeMoney]

I think it's funny how Seedy thinks other people are racist for not having the same low expectations he has of black people.

Nonsense, derfetuss.  I have tremendous hope for the Plight of the Black Man(tm) in this, the North American wilderness in which they find themselves, lost, abandoned and without direction.