Americans strategic foreclosures, deliberate acts. Wall Street banks will go bust(. or ?)

Every people in every country have their own way, to deal a blow to capitalism. Corporations, banks shenanigans will not go un-punished. The whole scenario of strategic foreclosures proves that everybody gets its comeuppance.

In 'I won't pay' movement spreads across Greece, the following comment was made ..

"taciturn-2970886
The movement will get here..It's already begun with strategic defaults on mortgages,
As our citizens become more informed on the corrupt, egregious conduct by our banks, brokers, and Goldman Sachs in particular, our citizenry will seriously revolt.
The capitalist scammers will get their just dessert from us hard working patriotic Americans..The scammers will be bashed..Wall Street has destroyed America.
The day will come when the miscreants in high finance will be hung out to dry.
9 votes
Reply#10 - Tue Feb 22, 2011 7:09 PM EST"

Expressed as a movement, that has already begun in USA. Strategic defaults as this article "Are Strategic Defaults Immoral? " informs.

"Strategic mortgage default is in the real estate news these days. Since many homes have lost a lot of market value since they were purchased and the amount owed on the property is much more than the home would currently sell for, some people are deliberately letting the home go into foreclosure so the homeowner can get out of the debt."

Existing mortgages, exceeding current market values, that drive homeowners to stop paying the mortgages to the lending banks, leading to foreclosure of the property so the homeowner could get out of debt. And who chooses to act in such a way?

In article "An Example of Deliberate Default of a Mortgage"

"Why would a person with a good job who can afford to make his house payments just stop doing so and let the property fall into foreclosure? The answer is that in places like Phoenix, Arizona or Las Vegas, Nevada, where prices increased the most during the bubble, home values have in turn dropped by large amounts. The average in those areas is in the 50-60% range and is sometimes higher than that. So the home owner now owes substantially more on his mortgage than the property is worth."

Persons that have good jobs and can afford to make house payments but decides not to, and they have been doing it since 2009, as Wikipedia mentions.

"A study in September 2009 from the credit reporting agency Experian and consulting outfit Oliver Wyman estimated that close to a fifth of troubled mortgages in the U.S. involved borrowers who were strategically defaulting."

A fifth of troubled mortgages in September 2009, involved borrowers strategically defaulting, with the banks taking the losses

"So this begs the question about the morality of sticking someone else with one’s mortgage debt. To be honest this practice does feel a bit slimy. If their bank gets stuck and has to eat most of the loan amount and take the loss, the costs will eventually be borne by others in the community through higher prices and more difficult loan terms for other people. On top of that, the borrowers are adults. They signed a valid contract, so why should’t they pay their debts, especially if they have the money?"

Losses which the banks, as their aged-old practice is, expect to roll the costs to others in the community through higher prices, difficult loan terms. As if they can. In an already stagnant housing market, which means they will bear a devastating blow in their finances, a loss that is not recoverable.

And therefore the morality issue. Moral consequences split between the banks and prospective new mortgage borrowers who are expected to suffer from such acts of deliberate defaulting. But since, the state of the housing market is such, it is doubtful whether the banks will be able to pass the costs to new mortgage buyers, and the banks themselves would suffer the bulk of the blow out of the deliberate acts of defaulting.

Banks experiencing the other end of the stick, for the first time, and the issue of morality goes solely towards them. Would someone feel remorse about the blow they are about to suffer?

"Then again one might ask how bad do banks feel when they foreclose on a homeowner? The big Wall St. banks created dubious financial instruments with mortgages, and they approved loans for buyers who were not the least bit qualified. They did this to make quick paper profits and give themselves huge bonuses."


Morality? Such a flimsy excuse. What a laugh. Where did banks get their morals from? What kind of morals they abide to?

"Ethical issues
Some ethicists have questioned the morality of strategic default, arguing that one has a duty to make payments on debt if one is able.[4] Others argue that there is no such moral duty, a loan being a contract between consenting adults, and noting that financial investors routinely default on non-recourse loans that have negative equity.[3] Some argue further that there is a moral duty to strategically default,[4] and that one should make such decisions based on one's financial interest "unclouded by unnecessary guilt or shame", as lenders who do not modify mortgages do the same, "seek[ing] to maximize profits or minimize losses irrespective of concerns of morality or social responsibility,"[5] or more bluntly stating that "The economy is fundamentally amoral."[6] Further, obligations to honor a contract are balanced by obligations to oneself and one's family, the latter speaking in favor of strategic default, some arguing "You need to put yourself and your family's finances first,"[6] while one also has obligations to a community, which may be damaged by default.[4]"

After going to such great lengths, as to declare that one's financial decisions should be "unclouded by unnecessary guilt or shame" and by 'one' meaning any entity, that entity being either a physical person or a financial corporation, the entities entering this domain of financial activities, the lenders, the banks "seek to maximise profits or minimise losses irrespective of morality or social responsibility" .. and somebody ..or better an entity that does not have to be considerate towards the members of a society that is a part of, acting irresponsibly, is not merely amoral, but immoral.

These are the morals, banks abide to, a concoction to justify their deeds, properly termed misdeeds. And the banks do not deserve anything but, the very same immoral stick, they have been waving for time immemorial, against people.

As economy, beyond the maximising profits and minimising losses it is most and foremost and unequivocally about the lives of people.

As the obligations to oneself and one's family weigh a lot more than the obligations to honour a contract, since without individuals capable to sustain family and self they would not be a society at all. Obligations to contracts are only possible, if and only if, obligations to oneself and one's family are met, but not the other way around.

The quick paper profits, vehemently sought out by banks, the strategic foreclosures, expressed as a movement, the quick paper profits backfiring. Banks foreclosing to their heart's delight, assumed that all their paper profits would be realised in tangible solid assets but alas they created a trap in which they have fallen into, like helpless mice, the current value of the houses foreclosed do not reflect the paper values out of which their paper profits were based upon. Do not materialise.

The banks take the loss and as their current and usual practice to roll the costs to new clients with higher prices, higher prices of what? Of foreclosed houses? .. how can they? to such a slow weak market .. how can they push house values up .. who would buy them?

They will have to bear the full losses themselves, probably starting by cutting the bonuses to their CEOs, or firing a few of them. With all the repercussions in the housing market implied, as themselves certainly, as all other Americans have homes, paying mortgages which now they could no longer afford and judging by their bonuses (oh, you are transgressing .. drooling ..) their houses would be enormous .. defaulting on their loans .. the burden will passed on .. on some other banks, if not their own .. the whole affair spiraling .. out of their control.

.. banks will go bust .. new bailouts ahead?

Tunisia, Egypt, Libya, the whole world, had enough of inequality. Money, the pervasive role that creates it.

inequality .. what are the tools .. by which inequality is enforced ... established .. perpetrated .. money .. in its pervasive role .. in gearing the acts of certain individuals more than others .. undeservedly

all that has been achieved .. by any group of human individuals .. it has been made possible .. by all involved .. in projects undertaken .. it is not enough the funding .. the siphoning of money for any project to come to fruition .. it requires the dedicated efforts from hundreds of individuals .. for any society the world over ..

humanity's achievements out of the coordinated efforts of all human individuals, money system rewards certain individuals more than they deserve

but alas the spoils are divided unequally .. money .. acquires prominence beyond its comeuppance

it establishes .. a rotten system of values .. all emanating out of .. the current social structures .. based on the exploitation .. of the work of the human individual .. as for anything that humanity has achieved .. it was and it is made possible out of the coordinated .. organized efforts of all individuals involved in an activity .. but alas the money system prevailing .. distorts such reality .. and the only ones that get the spoils .. are the ones that they have put .. provided the money

entrepreneurs .. investors .. lenders ..take all the spoils .. and all other people that have contributed are treated .. a little better than slaves .. paid slaves .. the work they have offered looses its meaning .. degraded .. ridiculed .. demeaned .. and lost

and the worst ever side-effect .. the concoction out of this .. of a formula ..
.. an equation .. a function .. for the individuals in societies .. to use to explain .. describe and interpret .. and practice .. all that is happening .. around them .. based on the paradigm of money .. in all aspects of the society they live .. they are faced with ..

poisoning the human individual's life cycle .. at every level in which he acts .. family .. friends .. neighborhoods .. communities .. societies .. nations .. states .. the whole world at large ..

A coup d' etat. Corporatism will fall from within.

Reading the reviews on John Kenneth Galbraith's book 'The Economics of Innocent Fraud: Truth For Our Time'.

The views expressed are spreading out, witnessed by loads of similar expositions, ubiquitously and universally, making out people's minds. Humanity's next stage of evolution undergoing, nevertheless it appears it goes though aparently, a lagging period. What's brewed underneath as yet to come out.

Or at least what national presses led us to believe. Corporatism thrives, all is fine in the Kingdom of Danimarkia. Business as usual.

One last-ditch effort, a push, a kick, a blow. Corporations, the capitalist system, the market economy will be transformed from within.

A coup d' etat rather than a head-on confrontation. Trenched warfare takes longer, wasting precious time.

Snatch the tools from their hands, render them useless in their own game, before they drive us out of our wits.

Humanity needs the infrastructure, built solely on its own painstaking efforts, intact. No bloody noses just hard-nosed bleeding by a blow on their pig-snouts. Can offer the hankies to dry their bloodied noses.

Come to think of it, though not explicitly telling, that is already happening in every office, the world over.

Mohamed Bouazizi, humiliation. State's, ultimate goal. To render their citizens useless. Empty shells.

Death of Mohamed Bouazizi, his mother said .. "It got to him deep inside, it hurt his pride," ..

Mohamed Bouazizi .. his humiliation that drove him to his desperate act .. a deeply human reaction ... something deeply felt .. witness to the length a State .. went .. goes .. would go. Any State.

Hard on the heels to render a human individual .. useless .. devoid of spirit .. empty him .. of any notion of self-worth .. an empty shell of a man or woman ..

.. any State's ultimate goal .. accomplished by state officials, police and the like .. indoctrinated .. practical zombies .. emptied themselves too .. to assist the performance of their duties ..

.. devoid of their human properties .. heavy on their duty .. to empty the contents of all other individuals .. under the jurisdiction of the State

..a system that undegoes to such lengths .. in order to sustain itself .. to perpertuate its existence .. it is not worthy of the human individual ..

..States should stand up to the standards .. human individuals put forth .. demand

"Yes to Mubarak, no to chaos" .. fret of chaos? .. NO ..

"Yes to Mubarak, no to chaos" reported in Al Jazeera, chanted by individuals opposing the people that want Mubarak out ..

.. fret of chaos? .. NO ..

chaos .. it is not but the necessary stage .. readjustment .. of .. the states ..of people's lives .. to new attractors

a step necessary .. for societies to evolve .. where people .. demand to contribute .. to a greater extent .. for the evolution .. of their society

as nothing is given for free .. people should grasp .. and seek out .. firmly .. what it should be theirs .. as all individuals would not leave .. what is in their possesion .. without a fight ..

Mubarak's agony .. the illusion perpetrated in his mind .. that the power is his .. and his alone .. master in his domain .. a grave mistake of his compatriots .. that allowed him to engulf himself into .. perpetrate this myth into his mind .. a mistake long overdue its cure

Mubarak claimed .. that he gave peace to Egypt .. roadways, sewage treatment, water provision, holding of elections, most food prices low .. served Egypt through peace and war .. devoted his life to Egypt.

.. all out of a fallaccy that is his to give .. or anyone's for that matter .. and not out of the myriad every-day demands a growing society puts forth .. that he just merely responded .. and meekly for that matter ..

.. that's enough of this myth utterly endorsed .. by societies, people .. that they require herders .. to progress and grow .. whoever .. at any moment .. at any place .. whatever the conditions and circumstances .. is there at the top .. is out of the sheer will of the people .. and the people giveth .. and the people taketh away ..

..a society, any .. at whatever stage it is .. is out of the contribution of all its people .. and when this contribution .. do not merit .. with equal regard .. it is bound to lead to upheaval .. people in their quest .. that their contribution is properly regarded

Sheriff courts. What do they offer? Justice? ... NO...

Sheriff courts. What do they offer? Justice? ... NO.

To get their cuts from increasing the burden to the individuals who have been unfortunate to fall into their traps. To extract monies that unscrupulous corporate bodies demand from individuals. Demands arbitrary, one-dimensional, singular.

To satisfy the arbitrary demands of corporate bodies from individuals, corporate bodies and 'justice', adhering to the law of 'communicating vessels', serve each other in perfect harmony.

Their task? Their goal? Money's hard-nosed processes at bay, bury all, they are only humans or at least as many as you can, after all, they are only 'human'. Live long the money.

And who is using them. Councils, factors all the remnants of the past. Are they there to ease the burden individuals being in debt feel? No, their purpose is to make it worse to claw even more money.

Society's vultures to pick out the morsels of meat, or digging deep into the marrow of the bone when it is obvious that not even a morsel of meat is left on the bare bones to pick out from. The other side of the Darwinian societies that thrive in the uk.

It is a smear on the face of humanity, allowing these vultures to do their job. They are humanity's baggage of the past that should be relentlessly eradicated.

But the saga has not finished yet. It is now the turn of the credit agencies to finish the job. Credit agencies with indignant ceremonious procedures, their accolytes follow, come forth to finish the job so the unfortunate victims will stay buried, never to ressurect from their grave and in the process how can they not, but make sure that they get their application fee from the dead person, so to verify his death.