Recent Comments
    • Candy on Budget Crisis, Red Tape and teenage crushes...
      “@Shawn - Money can apparently buy a LOT of happiness - and it seems to come in the form of pills and smoke-able items. *sigh* (yeah, sure you didn'”
    • Shawn Powers on Budget Crisis, Red Tape and teenage crushes...
      “It always amazes me the number of overdoses and suicides in the celebrity death pool. I mean, I know, "Money can't buy happiness" -- but you'd think ”
    • Candy on Phooey on social media privacy
      “Justin - ah, so you keep separate accounts - how much bleeds over though? Do you think people pay attention to DuckDuckBlue? Or just to JustinRyan? Do”
    • Justin on Phooey on social media privacy
      “I doubt I have to tell you, but I'm in the "let it all hang out" camp. (Despite vicious rumors of being obsessively private.) My feeling is, I am wh”
    • Candy on Phooey on social media privacy
      “I guess my point is... if an employer is going to delve that deeply into someone's stuff as to look back through their wife's silly twitter account, d”

PostHeaderIcon The mortgage crisis…

A bookkeeping and accounting nerds email list group I am a part of was recently discussing the mortgage crisis and, well… I have some pretty strong opinions on the subject… so let me ask any readers here… and feel free to comment… who do you think, either in whole or in part, is responsible for the mortgage and lender crisis the US is starting to see?
The individual homebuyer for getting in over their head?

The lenders for approving those for “too much” house?

The real estate agents for pushing too hard?

The title companies for closing so quickly?

The closing agent for not making sure they understand what they are signing?

Who else is “responsible”? Is no one responsible?



2 Responses to “The mortgage crisis…”

  • Lanel says:

    Honestly, all of the above. But, ultimately I think the responsibility falls on the buyer. Buying a house is a big deal, if you don’t know what you’re doing then you need to get educated before making that large of a purchase. Period. But, I also think some of the responsibility falls on the other parties because they really can be persuasive/pushy in getting someone into something they can’t quite cover.

  • Sally_K says:

    I was just having this discussion with somebody yesterday. I think all of the above are responsible but I also think Americans really need to step up and take responsibility for their own financial situations. Yes, it is very easy to spiral in to credit card debt but is it really necessary? Most people don’t understand how interest rates, finance charges and late fees are applied when they only pay the minimum and pay it late. So yes the credit card companies also play a part in the huge debt but still it is ultimately the card holders responsibility. I know many people that don’t even look at their statements each month. Last month my credit card statement had an extra $45 late fee in addition to interest for the late amount. If I wouldn’t have looked at my statement I wouldn’t have seen that extra almost $70 in fees and I wouldn’t had called the company to tell them to reverse the charges immediately or I would be taking my business elsewhere. (The payment should not have been marked as late, I mailed it a week before).

    It’s one thing to use your credit card for emergencies if you have no other funds. I understand if you are in debt because of health care emergencies or other emergencies but it’s another thing to go on a shopping spree for 10 new pairs of shoes (in addition to the 52 you already have) when you don’t even know if you have enough to pay mortgage this month.

    Have you looked into the garage of an average American lately, in particular the ones in dept? I’m willing to bet their garage is full from floor to ceiling with a bunch of junk they’ve bought over the years, junk they don’t use, they may not even have room to park their cars.

    You should see some of my neighbors garages… whoa!

    Okay, I’m getting off my high horse now and going back to work.

Share your thoughts.

CommentLuv badge