Prior to the housing market collapse of 2008, about 70% of the revenues of US banks were comprised of profits made off of real estate loans. But with a self-induced real estate bubble where lenders relaxed loan requirements and offered low teaser interest rates to induce new home buyers, and then palmed off bad loans onto the public ledger via Fannie Mae and Freddie Mac, they were recklessly allowed to keep speed processing home loans so banks could play fast and loose with their depositors’ money which they were using as reserve capital to make these loans.
More
DelMarVa's Premier Source for News, Opinion, Analysis, and Human Interest Contact Publisher Joe Albero at alberobutzo@wmconnect.com or 410-430-5349
1 comment:
Most people dont know tarp has never quit.It goes on every Friday night at the federal reserve.Banks line up for bail out money to keep them afloat.
Post a Comment