I’d just like to add to the general cacophony online for a moment: I’M PISSED OFF!!!
Here I sit, in my mortgaged-with-20%-down house and ZERO credit card debt, watching my government prepare to rescue reward bail-out companies who made reckless, irresponsible, and criminal lending decisions to people who couldn’t afford their payments and did not hold up their end of the social contract.
Every last one of these players shares in the responsibility. Between them, they’ve managed to bring the global economy to the brink of a complete meltdown… but the price will be paid by those of us who did, in fact, play by the rules.
Very nicely done.
Add to that the money going to subsidize ethanol pants that are closing as soon as the company gets the government money…or companies taking subsidizes selling at a profit, taking the money and running.
Stop the bail outs and the subsidizes…and we may become a strong nation instead of lazy , apathic, Irresponsible group we are becoming (not that I am bitter or anything)
take 1/2 that money we are giving away, get rid of insurance companies and spend it on health care.
I am in a paid for house with zero dept. How will I be rewarded for responsible. Higher costs that’s how
Yes, John. That’s exactly how.
Polimom - I think a large part of the problem is the perception of ‘irresponsible borrower’. Most of them are seen as lower-income, probably minority, or else younger folks who tried to climb the ladder to success too soon, too fast. OTOH, the real problem (as I see it) was with a group of real-estate speculators (known commonly as “flippers”) who bought properties with the intent of turning them around (”flipping”) them before the note came due. The areas where this behavior was prevalent (Calif, NV, MI?) was where the sub-prime ‘crisis’ first showed up. Unfortunately, the problem simply wouldn’t go away, and ended up dragging down more and more (sort of like a financial singularity.)
Ultimately, I think we need to re-think the whole reason behind home ownership. While touted as “the American dream”, in reality it has turned into a nightmare for many. Seen as a way to build wealth rather than secure a roof over your head, too many folks have been ‘encouraged’ to over-extend themselves - with potentially catastrophic results.
~EdT.
It upsets me too, PM. You try to do the right thing, avoid debt, save money- and get pummeled anyway when the whole house of cards comes tumbling down. Where’s the reward in doing the right thing?