Awesome vid- Credit crisis visualized (kind of)

[Ironslave]

The video is excellent, and easy to understand how the fire today got so big. (though, it totally ignores the role the Fed/Government had in lighting the match). Other than leaving out that initial aspect, it's awesome.

Pt 1

Pt 2

 

[Tech]

I don't really like how they kinda imply that it's the lenders fault for giving a loan to a "risky" family. Is it a stupid business move? yeah. but shouldn't 99% of the blame fall on the deadbeats who buy homes they know they can't afford?

also, something I've been wondering. As all these banks and lenders are losing money and going bankrupt....who is gaining money? The money can't just disappear. So which businesses in the world are currently growing?

edit: thanks for the video. it does help explain things.

 

[Big04pimpin]

I don't really like how they kinda imply that it's the lenders fault for giving a loan to a "risky" family. Is it a stupid business move? yeah. but shouldn't 99% of the blame fall on the deadbeats who buy homes they know they can't afford?

also, something I've been wondering. As all these banks and lenders are losing money and going bankrupt....who is gaining money? The money can't just disappear. So which businesses in the world are currently growing?

edit: thanks for the video. it does help explain things.

Money can disappear but that another thing with our government since they think its cool just to make it appear out of thin air.

I agree 100% that its the people's faults who bought houses that were way out of their price ranges. I was wondering over the past few years how some people I knew were getting these houses. Come to find out, they are in way over their heads.

Is it the bank's fault for wanting to make money? Nope, not at all. They were doing their job. I say kick them out of their houses if they can't pay. That way I can come by and pick up a nice house for cheap.

 

[Ironslave]

Lots of people were at fault... the government for making the lenders give out bad loans, the lenders for doing so, people for taking loans they couldn't afford (when really, they intended to just flip it, and make a profit)...

 

[Big04pimpin]

Lots of people were at fault... the government for making the lenders give out bad loans, the lenders for doing so, people for taking loans they couldn't afford (when really, they intended to just flip it, and make a profit)...

what constitutes a bad loan? I am curious. In my eyes, if you know what your signing then its not a bad loan.

Now I am not to involve in politics and don't follow this too much simply because I am busy with my new career so I am the first to state that I am ignorant on the subject.

 

[Ironslave]

what constitutes a bad loan? I am curious. In my eyes, if you know what your signing then its not a bad loan.

Now I am not to involve in politics and don't follow this too much simply because I am busy with my new career so I am the first to state that I am ignorant on the subject.

Well, mostly giving loans to people with little check on their credit, and even when checked, still giving it out even though the chances of them paying it back would be pretty slim. Believe it or not, Obama actually sued banks, forcing them to give out these loans.... and now everyone turns to this guy to fix it? LOL...

Duality discussed it before I think, but these african americans should not have been denied loans because of the color of their skin, they should have been denied loans on the basis of their credit (more importantly, vice versa).

 

[Duality]

liberal idealists found it racist what banks where doing (their job), when in all actuality is it's the sad truth that more african american families are poorer than others. but dipshit organizations like ACORN (with the support of our current king of liberals, obama) forced banks to give out what has been come to be deemed as NINJA loans

N-o
I- income
N-o
J-ob, no
A-ssests

basically, if you have a pulse, bam, you're qualified! groups like ACORN would actually go to the homes of bank officials and pressure/threaten them to give out loans to people who have no business receiving one.

 

[pegasus]

the saying that house prices always go up is plain stupid. If any smart person had done a little research, they would not have bought into that bs.
here's a graph of the US real estate prices for the past 100 years..

the banks knew this was a bubble, but they all thought they can jump off just before it burst, but they didn't manage to do it.
If something is too good to be true then....
an investment can go up or down. If investing in a house was such an easy way of insuring capital grown then no body would invest in anything else.