The Mortgage Crisis Blog » Money

An Open Capital framework as a solution to the financial meltdown

The Mortgage Crisis Blog — Fri, 27 Feb 2009 05:03:27 +0000

A contribution from Chris Cook , via European Tribune : “ The Credit Crash marks the end of an era for the global financial system, and the beginning of another. Few understand our modern banking system, but in simple terms it consists of banks as “credit intermediaries” who create credit based upon an amount of capital specified by international banking regulators. This interest-bearing credit constitutes most of the money in use, the balance ( However, it was not Bank capital which u

Momentum Caused the Credit Crisis

The Mortgage Crisis Blog — Thu, 26 Feb 2009 05:01:00 +0000

Wired magazine had a great article explaining the causes behind our credit problems . Unfortunately, they blamed math as the root cause of the problem, which is silly. It’s like blaming a hammer for smashing your thumb. A decade ago, most investors didn’t like to put their money into mortgage pools (unless they were backed by the US federal government) because they couldn’t quantify the risk. Then along came a clever guy named David Li who developed a formula to measure the amount of risk.

Attorney Announces Maryland Mortgage Task Force

The Mortgage Crisis Blog — Tue, 24 Feb 2009 05:45:35 +0000

On Friday, U.S. Attorney Rod J. Rosenstein announced a new effort to fight against mortgage fraud in the state of Maryland and beyond. The new Maryland Mortgage Task Force will go after fraud crimes that cross over city, county, and state lines, said Rosenstein. The task force will not just go after fraudulent mortgage consultants, but also after the lawyers, appraisers, and accountants who aid them in taking money from homeowners. “None of our agencies alone has the resources to be able to

Carlyle Sees Profit in Distressed Bank Securities

The Mortgage Crisis Blog — Mon, 16 Feb 2009 04:51:04 +0000

District-based Carlyle Group, a giant private-equity firm, has raised around $1 billion and hopes to add $2 billion more for investments in financial institutions that come up for sale under President Obama’s economic rescue plan, according to people familiar with the company’s plans. The buyout firm will use the money to help with the recapitalization of banks whose balance sheets have been rocked by toxic mortgage assets and are in need of cash, said the sources, who spoke on condition of an

Bailout/Debt Bubble Expanding Rapidly

The Mortgage Crisis Blog — Sat, 14 Feb 2009 21:59:51 +0000

Earthside Comments: Well, President Obama got the trillion dollar “stimulus package” he and the Dimocrats wanted. A trillion dollars? At least … interest will have to be paid on all that borrowed money … easily a trillion dollars or more. Add this to the bank bailout borrowing the federal government is already doing — add this to the billions upon billions of dollars Obama and the Dimocrats will be proposing soon for other programs: the new mortgage bailout plan, more for the ‘new energy

Lies, Heresy, and the End of the World As We Know It

The Mortgage Crisis Blog — Sat, 14 Feb 2009 13:44:49 +0000

This is re-posted from Race42012.com, thanks to the author, MWS, for allowing me to share it.Suze Orman- a personal finance guru for whom I have tremendous respect- says that much of our personal finance troubles come from our willing belief in lies, and that we can only free ourselves from these problems when we start to acknowledge the truth about our money. It is high time that we as Americans, and as Republicans, stop lying to ourselves about the single greatest economic threat to America. I

Dr Boyce Financial Challenge

The Mortgage Crisis Blog — Sat, 14 Feb 2009 04:18:00 +0000

The Dr. Boyce Challenge for this month is simple: Create a budget. That means you should list every single expense you have for the entire month on one piece of paper or a spreadsheet. Don’t leave anything out. Count the money you want to use for getting your hair done, your nails, paying your mortgage, car note, whatever. Count everything. That will be your first step toward obtaining financial fitness. As you create the budget, allocate at least 3% of your monthly income toward reducing

The Advantages of Payday Loans

The Mortgage Crisis Blog — Fri, 13 Feb 2009 08:38:00 +0000

Here is a website that you can rely if you need some extra cash. Global crisis has been made many changes in this year. Many people in United States have to facing bad financial condition right now because of this situation. The condition will getting worse if you have debts and the other loan and even mortgage that have to be paid at the end of the month. To cover up all your bills, you have to get some more money. Well, relax, because today we have payday loans . With payday loan, you can c

Canada, The Economic Tortoise

The Mortgage Crisis Blog — Thu, 12 Feb 2009 03:19:27 +0000

I like Canada. We have taken several vacations there. The Shakespeare festival outside of Toronto is excellent. The restaurants are surprisingly good. The people are friendly and polite, of course we are there to spend money. I always read the newspapers there, and they describe themselves as boring. So does Fareed Zakaria in this article on the Canadian banking system. Boring, but also the only country with a healthy banking system in the developed world. Key quotes….. ” Guess which c

STIMULUS IS A BAD IDEA

The Mortgage Crisis Blog — Mon, 09 Feb 2009 02:54:00 +0000

By Jack H. Swift, Esq. February 8, 2009NewsWithViews.comYou Can Protest the Stimulus package here.Congress is poised once again to do what it does best. It is going to spend astronomic amounts of money it does not have. From a debt perspective, this can only make our current economic problems worse.From our founding until 1981 our government only managed to accumulate $1 Trillion in debt. Since 1981, our mode