National Home Loan Recall

There needs to be a commonsense act where all mortgage lenders from Mom and Pop banks up to B of A are ordered to recall every single loan that they issued to home owners just as auto producers and other manufacturers will recall products or produce that are known to be defective.

I truly do not understand why this has not been a central part of the Government plans.

Evidence is mounting more and more which shows that real culprits behind our economic ills has been individuals at the helms of Wall Street firms as Merrill Lynch, Lehman Brothers, Moody’s, Dune and Bradstreet and lenders as Wells Fargo, Countrywide, B of A and others, who conspired to strip the equity out of American homes and transfer most of it into their own hands and other investors who are not Americans. That’s right. American investment firms sold off American property to hedge funds and other negotiable instruments that were picked up by many American institutions and foreigners. Instead of industry and the things it produce being the backbone of Wall Street investment, they pushed Reagan and other administrations to deregulate the money industry so they could sell American property. The results have been horrible for the common folks more than any other.

The Center on Public Integrity has found over 75% of the loans issued in the last decade were defective products in some area. Contracts were made which were in fact illegal. Falsified loan and other documents just scratches the surface.

Bottom line: we need for President Obama to begin mandates that directs all lenders to recall their loans and redo them. This is where the bail out money should be going. Modifications are not working because they are keeping home owners in the same predatory loans that we need to escape from. We need to go back to traditional loans, and simply stop penalizing borrowers with higher fees. If a person is such a risk on borrowing, then why lock them into higher loans? This means that you’re making them even a greater risk. It’s insanity!