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People in Business: A who's who for July 3 Windows Vista vs. Windows XP Foreclosure PSAs Fresh Apple Fries Yet another airline flying away Housing market in a slump? You decide with our home sales map People in Business: A who's who for June 27 McAllister Ranch: Golfing with weeds In search of far-flung commuters Yard sale deals January 08 February 08 March 08 April 08 May 08 June 08 July 08 Contact us with your news and information: Team leader: Christine Peterson, cpeterson@bakersfield.com, 395-7418 Assistant team leader: John Cox, jcox@bakersfield.com, 395- 7345 Reporters: Courtenay Edelhart, cedelhart@bakersfield.com, 395-7372 Vanessa Gregory, vgregory@bakersfield.com, 395-7379 Jenny Shearer, jshearer@bakersfield.com, 395-7234 Gretchen Wenner, gwenner@bakersfield.com, 395-7368
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State attorney general accuses companies of "illegal" loans
Here's a "raw report" straight from the office of California's attorney general: (Read California's lawsuit here.) LOS ANGELES — California Attorney General Edmund G. Brown Jr. today shut down Lifetime Financial, Nations Mortgage, Greenleaf Lending, Virtual Escrow, Olympic Escrow and Direct Credit Solutions, accusing the predatory lending companies of pushing homeowners into “illegal and unconscionable loans.” 1 comments from 1 users
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posted by
cnclmark
on Mar 18, 2008 at 07:51 PM
Most individuals were aware three years ago that this real estate loan subprime market was going to cause this kind of crash. I remember sitting down with bankers who advised me and "others to keep your credit perfect, maintain liquidity, and you will be a bankers prayer when this crashes". Now our Nanny government wants to bail out the loan institutions responsible for making these loans, bail out the borrowers who can't make today's payments that they didn't qualify for those loans at the time of their application. What should be the role of government? Some people reading this may have been forced to purchase very expensive PMI, (Private Mortagage Insurance), to cover the lenders if they defaulted on their obligation to make payments under their variable teaser rate trust deed and note. Some people weren't forced to purchase that insurance which only covers the lender's interests. Why should you have to pay to bail out greedy mortgage brokers who could have reasonably forseen their customers could not make payments? I am at a loss to come up with even one reason in their defense. Quit making your house payments and see who comes to your rescue.
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