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Non Compos Mentis
Join Date: May 2001
Location: Off the grid- Almost
Posts: 10,655
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To put people into a loan they cannot afford is very short-sighted. To do it hundreds of times is downright silly. I don't feel sorry for the lenders who are being forced to shut their doors because of high default rates of their clients.
I feel sorry for the people who are simple enough to get suckered into these loans, and quickly have their lives seriously messed up.
"We're helping more people live the American dream- to own their own home" the brokers claim when giving unqualified people loans. No they're not. They are simply setting them up for failure.
The "old" system requiring 20% down was difficult for first timers, but it insured a certain level of financial savvy to achieve, and assured greater level of successful loans.
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