ext_199699 ([identity profile] mrf-arch.livejournal.com) wrote in [personal profile] cos 2008-09-22 02:43 pm (UTC)

Are you talking about people who a priori knew that they wouldn't be able to afford their house, but wanted the thrill of buying something large

Not to mention people who a priori knew nothing, because they didn't, couldn't, or wouldn't read the fine print. Again, to the extent that there's an issue of predatory lending practices, there's a need for individual punishment of individual bad lenders, but that's also an aside to fixing the problem.

Are you talking about people who were responsible, knew their limits, and made their payments on time every month, but $BADTHING happened, and now they can't move or sell, while getting hit with an adjustment they never thought they'd have to face (due to moving before then)?

And have we historically ever bailed those people out? Traditionally, "I did my best planning but something went wrong" is what bankruptcy is for.

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