A Victory for the Public on Foreclosures?

JPMorgan's Losses a Canary in a Coal Mine?

FOCUS: Apocalypse Fairly Soon

FOCUS: Five Facts That Put America to Shame

The NDAA's Coup d'Etat Foiled

FOCUS: The Commencement Address That Won't Be Given

Taibbi writes: "So there was big news yesterday on the foreclosure settlement front. We still have to wait and see what the final deal looks like, but there are reports out that the long-awaited settlement is a far, far better deal for the public than expected."

Rachel Keyser and her daughter, Sydney, stand in front of their house in Deerfield, New Hampshire. (photo: Chris Arnold/NPR)

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+44 # shortonfaith 2012-01-29 10:00

They say it's a good deal but, what about those who lost their homes? Will they get their life back? Their money & efforts they put into that home? It was stolen by thieves that controlled even the job that allowed these people a chance at life. I'll believe the congress is starting to do good, only when people start going to jail. And, those who lost everything, are then made whole. Congress controls the tariffs on products that started the game in the first place. Bankers are still just using taxpayer money, given to bankers by congress, then taken back again in a long & painful dance. Meanwhile, American citizens lost their jobs & their homes. At the end of the game, citizens lost everything. Wall street & congress danced back & forth with the power of our money. Bankers & congressmen who allowed this all to happen, should be punished to the full extent of the law. More than the hungry kid who steals & hot dog from a 7-11 & get 10 years. Then, the people who's entire lives were traded, need to be made completely whole.

That is the only fair ending to this entire affair. Congress has the power of the entire world, so they need to do the right thing by completely following thru to a just end. Lets not pretend they're actually doing something until "people" are once again made whole. And, many someone(s), see justice for these crimes against millions of lives. This has been fraud in the greatest scale imaginable.

+13 # LiberalLibertarian 2012-01-29 13:39

From the way I am reading the article. This settlement does not address the issues you are raising in any manner whatsoever. The only issue addressed by the settlement is robosigning, and there is reparations in the agreement. All other mortgage related crimes that the banks have committed are still up for litigation, by individuals, by the states, even by the fed.

Every one thought this would be a settlement for everything. That is why this such good news.

0 # X Dane 2012-02-02 18:55

Liberal, as I understand it . It is a beginning and does not prevent further investigations and indictments.
Let's wait and see before we get excited, either way.

+4 # RLF 2012-01-30 05:02

Exactly! The government wants paid but does nothing for all of the people that got screwed by a real estate market gone nuts...including all of those that own houses that will lose value but won't be foreclosed on...the people that are stuck in houses until they get to where they can be sold. Many of those foreclosed wouldn't have been if the market wasn't so artificially high.

-21 # Dumbledorf 2012-01-29 10:41

VICTORY?? A GOOD DEAL??? WHAT KIND OF KOOLAID HAVE YOU BEEN SIPPING? BETTER GET THE FACTS FIRST BEFORE RUNNING OFF AT THE MOUTH. HERE ARE THE FACTS:
http://dailybail.com/home/obama-to-use-pension-funds-of-ordinary-americans-to-pay-for.html

"Obama’s latest housing market chicanery should come as no surprise. As we discuss below, he will use the State of the Union address to announce a mortgage “settlement” by Federal regulators, and at least some state attorneys general. It’s yet another gambit designed to generate a campaign talking point while making the underlying problem worse."

".....So this deal amounts to a transfer from pension funds and other fixed income investors to the banks, at the Administration’ s instigation."

obama, the consumate liar, WHO HAS BEEN IN THE BACK POCKET OF THE BANKERS FROM DAY 1, is going to raid the pension funds of american citizens to pay for the worst fraud ever perpetrated in history! OBAMA MUST BE IMPEACHED!!!

+15 # BellBuoy 2012-01-29 14:11

Quoting

VICTORY?? A GOOD DEAL??? WHAT KIND OF KOOLAID HAVE YOU BEEN SIPPING? BETTER GET THE FACTS FIRST BEFORE RUNNING OFF AT THE MOUTH. HERE ARE THE FACTS:
http://dailybail.com/home/obama-to-use-pension-funds-of-ordinary-americans-to-pay-for.html

"Obama’s latest housing market chicanery should come as no surprise. As we discuss below, he will use the State of the Union address to announce a mortgage “settlement” by Federal regulators, and at least some state attorneys general. It’s yet another gambit designed to generate a campaign talking point while making the underlying problem worse."

".....So this deal amounts to a transfer from pension funds and other fixed income investors to the banks, at the Administration’ s instigation."

obama, the consumate liar, WHO HAS BEEN IN THE BACK POCKET OF THE BANKERS FROM DAY 1, is going to raid the pension funds of american citizens to pay for the worst fraud ever perpetrated in history! OBAMA MUST BE IMPEACHED!!!

Okay, okay: I can see why you see it that way, Dumbledorf. But I'm not convinced your source is entirely accurate either. What we're watching is that the two BIGGEST state AG's are finally working to hold the feet of the Banksters and the corrupt regulators to the fire so the public gets some real relief. This is all just unfolding, so let's stay tuned and see if some justice happens AND pension monies are NOT used to pay off Banksters fraud.

+3 # humanmancalvin 2012-01-29 15:31

Dear Dumb..its all in your name.

+5 # Observer 47 2012-01-30 09:53

Dumbledorf, nothing in the article for which you've posted the link, nor in the source material for the article, says anything about using pension funds to pay for any settlement. I'm certainly not an Obama fan, because he IS in Wall Street's pocket, but get your facts straight.

+2 # CandH 2012-01-30 11:23

"The story did not outline terms, but previous leaks have indicated that the bulk of the supposed settlement would come not in actual monies paid by the banks (the cash portion has been rumored at under $5 billion) but in credits given for mortgage modifications for principal modifications. There are numerous reasons why that stinks. The biggest is that servicers will be able to count modifying first mortgages that were securitized toward the total. Since one of the cardinal rules of finance is to use other people’s money rather than your own, this provision virtually guarantees that investor-owned mortgages will be the ones to be restructured. Why is this a bad idea? The banks are NOT required to write down the second mortgages that they have on their books. This reverses the contractual hierarchy that junior lienholders take losses before senior lenders. So this deal amounts to a transfer from pension funds and other fixed income investors to the banks, at the Administration’ s instigation." http://www.nakedcapitalism.com/2012/01/obama-to-give-banks-mortgage-get-out-of-jail-almost-free-card-pressures-state-attorneys-generals-to-capitulate.html

+2 # CandH 2012-01-30 11:27

"Another reason the modification provision is poorly structured is that the banks are given a dollar target to hit. That means they will focus on modifying the biggest mortgages. So help will go to a comparatively small number of grossly overhoused borrowers, no doubt reinforcing the “profligate borrower” meme.

But those criticisms assume two other things: that the program is actually implemented. The experience with past consent decrees in the mortgage space is that the servicers get a legal get out of jail free card, a release, and do not hold up their end of the deal. Similarly, we’ve seen bank executives swear in front of Congress in late 2010 that they had stopped robosigning, which turned out to be a brazen lie. So here, odds favor that servicers will pretty much do nothing except perhaps be given credit for mortgage modifications they would have made anyhow." http://www.nakedcapitalism.com/2012/01/obama-to-give-banks-mortgage-get-out-of-jail-almost-free-card-pressures-state-attorneys-generals-to-capitulate.html

+6 # barbaratodish 2012-01-29 12:28

Matt Taibbi: ATTENTION URGENT: Is robosigning involved in STUDENT LOANS TOO? This needs your investigative attention: A call for a Federal RICO (Racketeer Influenced Corrupt Organizations) investigation into whether "Student Loans (are) the Next (Intellectual) Property Scam Because Higher Education Is Equivalent to Banksters! (20,000 views!)http://readersupported news.org/pm-section/256-justice/9233-instead-of-signing-pledges-to-refuse-to-pay-student-loans-join-a-class-action-f-law-suit-to-demand-all-university-college-etctuition-back-with-interest

+6 # giraffee2012 2012-01-29 19:25

I will clap-clap -when I see one CEO/CFO/ BANK PRESIDENT/ etc. prosecuted and in handcuffs with a sign saying "on way to the BIG House + all assets on way to a bank account (opps - maybe credit union account) to be distributed to those who show they got robo-ed into the streets

Meanwhile - do NOT vote Republican! But do vote in 2012.

And chuckle I hope "Mitt/Newt" will be the GOP "ticket" (I don't care which is VP on that ticket" -- I'm dreaming (nightmarish) again.

+6 # dotdashdot 2012-01-29 21:17

Many years ago I worked as a temp for Fannie Mae. My job for several weeks was to write in several places an executive's initials. During the entire day, a worker brought me and several other temps mail tubs full of folders. At the end of three weeks I finally met the woman whose initials I'd signed.

Given the volume of folders we processed, I doubt that if she even saw individual folders it would be only for moments.

My point is that this was not a one-time effort to reduce a backlog. I think it was ongoing. It would not surprise me one bit if right now another pool of temps is carefully working through more tubs of folders.

+7 # unitedwestand 2012-01-30 01:53

Great, a score for the people for once. I'm so glad I helped in the campaign to elect our wonderful Kamala Harris.

I would like to remind people, that it is possible that things could have been even worse by now if it hadn't been for the attention that the Occupy Wall Street movement has brought to all these problem. I believe that it has given Pres. Obama that we do have his back and hopefully he'll be able to do even more.

It is imperative that we continue to support the OWS anyway we can and participate.

This next election is also important, so if you haven't registered to vote, or know someone that hasn't, please do so.

+5 # LiberalLibertarian 2012-01-30 05:36

Robosigning is a legal problem that has occured from the way mortgages are handled. Our laws and procedures still reflect the idea that a local bank, with local directors lend the money, and hold the mortgage until its paid off.

We need laws to govern mortgages that are sold, such as what rights does the person paying back the loan retain? It seems that the clause allowing the lender to sell your mortgage is very one sided.

+3 # CandH 2012-01-30 11:37

"Senator Sherrod Brown sent a letter last week to associate attorney general Thomas Perelli, Donovan, the CFPB’s Richard Cordray and Tom Miller criticizing the settlement pact. Excerpt of Senator Brown Letter:

"A settlement must also impose adequate penalties on servicers who broke the law. There are reports that the settlement could permit servicers to receive credit for writing down the value of MBS owned by investors, without requiring servicers to reduce principal on the mortgages and second liens that they own. Ohio's public employee pension funds have significant investments in MBS, and therefore have significant interest in the terms of the settlement. The reported settlement terms would allow banks to write down the investments of many of my constituents, without sacrificing anything. And, depending upon the scope, any settlement could potentially preclude these funds from pursuing actions to recoup more than $457 million in losses, allegedly due to credit ratings agencies improperly rating MBS. Such terms are unacceptable." http://www.nakedcapitalism.com/2012/01/obama-to-give-banks-mortgage-get-out-of-jail-almost-free-card-pressures-state-attorneys-generals-to-capitulate.html

+2 # John Locke 2012-01-30 14:45

http://www.youtube.com/watch?v=sFaviIoy4rg&feature=related

Take a look at what really went down in Oakland on the 28th. it was a war zone with thousands of OWS against a well Federally Trained Oakland police...everyone MUST see what happened... we are now an occupied country...

+1 # Holyone 2012-01-31 08:45

Yes, this is a step in the right direction, especially given the fact that you have to have regulations and laws in place to prosecute these "people".

We all know that the Republicans have, or want to repealed every REGULATION in sight so that these banks can continue their destruction of the American Middle Class.

Pretty much like the Churches that told the Faithful, "Buy that House", "Step out on Faith" "It does not matter if you do not have the money now", "God will work a miricle, if you only beleive", "He(God) will "Bring it to pass" .

This is why so many rational Christians got into this horrible market. The Faith Based Preachers really encouraged irrational risk, calling it "Faith"

After all, Bush subsidized and legitimized these "Religious Leaders" with "Faith Based" Grants and payouts, to get their support and their congregations votes.

But, look who is now paying the price for misplaced faith.

Listen... you can't hear a word about this mess from the Christian Front. Wonder why??

No one was saying, " Before you build a house, count the cost...."

+1 # cherylpetro 2012-02-01 13:10

You know what would work VERY WELL AGAISNT MONEY? If voters would EDUCATE THEMSELVES ABOUT THEIR CANDIDATE AND THEIR PARTY! Why do I know the truth about them? Other people can find out too! Skip the ads and do research! It really doesn't take much to fact check! I think that the people who believe candidates like Romney, don't want to know the truth! They pick the better looking guy and follow party lines! There are people who would shoot themselves in the foot before they would vote for the Democrat! Romney called corporations people, but if the REAL people need help, Corporations come FIRST! He would allow those corporations/people to cease paying minimum wage, benefits, ETC! in Romney's mind CORPORATIONS ARE PEOPLE, BUT U.S. CITIZENS ARE NOT!He thinks we are the indentured servants of the corporations, and that we should be damn grateful for it too! PS. Don't forget how much Meg Whitman spent of HER OWN MONEY (OVER 90 MILLION) IN CA TO TRY AND BECOME GOVERNOR, BUT FAILED TO WIN! SO THERE IS HOPE!

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