Joe officially announces he's running again

[fskimospy]

Some didn't think it was an issue prior to 2008 either...

I bet you I can find numerous articles before 2008 saying ‘some housing experts don’t think this is an issue’. See my point now? Haha.

News articles are not an excuse not to use your brain. Get me from A->B here. Why does 1% lower origination fee rates on subprime borrowers cause banks to no longer account for risk like they did in the 2000s?

 

[Paratus]

I'm no housing expert. So no, but they made a statement of what they think could happen in the linked article:

Some housing experts fear the new rules will encourage banks to lend to borrowers who perhaps shouldn't qualify for a mortgage in the first place. Lending to unqualified buyers is what led to the financial crisis of 2008; banks gave too many unqualified buyers home loans that they ultimately couldn't pay back.

My objection to the whole thing is penalizing good credit and rewarding poor credit.

It is slightly penalizing good credit and not penalizing poor credit as much. Poor credit is objectively significantly penalized compared to good credit.

Someone with good credit will never pay anywhere near the fee someone with poor credit does.

 

[ivwshane]

Right, so ‘some people are saying’, haha.

Lending to unqualified buyers was a collapse of underwriting standards in the 2000s. Origination fees are not underwriting.

So again, how does a lower origination fee lead to a collapse In underwriting standards? What’s the causal mechanism here?

Sorry you are greatly misinformed here. The collapse wasn’t because of sub prime loans to people not qualified. It was because of credit default swaps where investors packaged up sub prime loans and sold them as AAA investments where they were insured and when people’s shitty loans interest rates adjust higher, people started defaulting causing the values of the cds’s to drop which caused a massive loss to the insurers.

No what cause the 2008 financial crisis was greed coupled with a lack of regulations.

You would know this if you hadn’t been indoctrinated with right wing propaganda.

 

[fskimospy]

Sorry you are greatly misinformed here. The collapse wasn’t because of sub prime loans to people not qualified. It was because of credit default swaps where investors packaged up sub prime loans and sold them as AAA investments where they were insured and when people’s shitty loans interest rates adjust higher, people started defaulting causing the values of the cds’s to drop which caused a massive loss to the insurers.

No what cause the 2008 financial crisis was greed coupled with a lack of regulations.

You would know this if you hadn’t been indoctrinated with right wing propaganda.

Sorry, you are just repeating my own position back to me.

Underwriting standards collapsed because they could sell these loans and not be on the hook for them and package them in those securities you mention while getting paid a ton to do it. The problem at the bottom was still that people couldn’t pay their mortgage though - ie: underwriting standards.

 

[ivwshane]

Sorry, you are just repeating my own position back to me.

Underwriting standards collapsed because they could sell these loans and not be on the hook for them and package them in those securities you mention while getting paid a ton to do it. The problem at the bottom was still that people couldn’t pay their mortgage though - ie: underwriting standards.

No I quoted the wrong person, that was supposed to be pcgeeks quote.

 

[Jaskalas]

GOP went full party over country when america elected a black guy.

Yet that pledge continues, unchanging.
Because it has nothing to do with Obama.

2008-2012 was the era of social media being born and maturing to the point where people could and would choose to radicalize themselves. It empowered the darkest impulses of human nature, to divide and to destroy. And so our people work tirelessly towards that end, casting off the old notions of a great society. We aim to be a failed society and no Democrat President is going to stand in their way.

 

[akugami]

Gavin Newsom?

View attachment 80171


He ruined a state. What makes you think he wont do any better as president?

How did Newsom ruin California?

Or are you just repeating some Faux News lies?

According to recent polling, 57% of voting adults approved of Newsom's job as governor. 83% by democrats. 55% by independents. And unsurprisingly, only 12% by republicans.

I'm not saying Newsom did the greatest of jobs, but I certainly do not think he ruined California.

His willingness to call out industrial greed, such as those by big oil (who are sucking on the federal welfare teet), is a huge positive. Also raising taxes on the rich, which poor uneducated republicans somehow think is evil, even as they suck on the welfare teet. And it's not just the individuals and families, red states take more federal money back than they pay out in taxes.

If anything, he loses points for trying to chart a course that is best for the state as a whole, not one that benefits any one group. Such as how he loses some points with those on the far left, with some of his policies such as slashing welfare to the homeless.

His most vocal critics criticize him for things like the rolling power blackouts during high energy use. At the same time, he is receiving criticism for extending the life of gas and nuclear power plants. Most of the critics are asshats arguing against increasing funding into renewable energy sources such as wind, hydro, and solar.

So I ask you again, how did Newsome ruin California?

 

[WelshBloke]

Regardless it isn't right to have to pay more with good credit and have someone with poor credit get a break. It doesn't matter if it is 10 dollars or 500 dollars. Sub-prime loans have bitten us in the ass once already. Get ready for round two.

Dude, it clearly says in the post that you quoted that the guy with good credit is going to pay less than the guy with bad credit. It's just that the guy with good credit is going to pay slightly more than he would have before, but still less than the guy with bad credit.

 

[pcgeek11]

It is slightly penalizing good credit and not penalizing poor credit as much. Poor credit is objectively significantly penalized compared to good credit.

Someone with good credit will never pay anywhere near the fee someone with poor credit does.

Someone with good credit will never pay anywhere near the fee someone with poor credit does.

Which is as it should be.

 

[pcgeek11]

I bet you I can find numerous articles before 2008 saying ‘some housing experts don’t think this is an issue’. See my point now? Haha.

News articles are not an excuse not to use your brain. Get me from A->B here. Why does 1% lower origination fee rates on subprime borrowers cause banks to no longer account for risk like they did in the 2000s?

I cannot defend the posted link by @repoman0.

 

[pcgeek11]

Dude, it clearly says in the post that you quoted that the guy with good credit is going to pay less than the guy with bad credit. It's just that the guy with good credit is going to pay slightly more than he would have before, but still less than the guy with bad credit.

Dude. I didn't say more and less with respect to each other.

The person with good credit is paying more than they should by the old rules.

The person with bad credit is going to pay less than they should by the old rules.

 

[pcgeek11]

I'm done.... I My mortgage is essentially done and I don't plan on buying again.

Screw it.

 

[WelshBloke]

Dude. I didn't say more and less with respect to each other.

The person with good credit is paying more than they should by the old rules.

The person with bad credit is going to pay less than they should by the old rules.

"Should" is arbitrary in this situation. You may think that they "should" pay more, I might think that they"should" pay less. Fact is that the guy with the bad credit is paying more. That's what you want isn't it? Why the bitching?

 

[WelshBloke]

I'm done.... I My mortgage is essentially done and I don't plan on buying again.

Screw it.

I mean you really are living up to the memes!
Oldmanyellsatclouds.jpg
Oldmanwalksinandoutagain.gif

 

[pcgeek11]

"Should" is arbitrary in this situation. You may think that they "should" pay more, I might think that they"should" pay less. Fact is that the guy with the bad credit is paying more. That's what you want isn't it? Why the bitching?

No, I want the person with good credit to not be penalized.

 

[WelshBloke]

No, I want the person with good credit to not be penalized.

They are paying less than the guy with bad credit. That's the opposite of being penalised!

 

[repoman0]

I cannot defend the posted link by @repoman0.

My bad, I will never assume you are capable of critically reading an article again. That was definitely my mistake, high expectations and all.

 

[ch33zw1z]

Yet that pledge continues, unchanging.
Because it has nothing to do with Obama.

2008-2012 was the era of social media being born and maturing to the point where people could and would choose to radicalize themselves. It empowered the darkest impulses of human nature, to divide and to destroy. And so our people work tirelessly towards that end, casting off the old notions of a great society. We aim to be a failed society and no Democrat President is going to stand in their way.

It was born on the night on his inauguration and racism has increased since then

 

[MrSquished]

I find it funny pcgeek got asked to use his brain, I mean when has that occasion arisen anytime in a long time?

 

[Paratus]

Which is as it should be.

Then what is your issue?

 

[FelixDeCat]

So I ask you again, how did Newsome ruin California?

He is doing such a great job ruining California that millions are fleeing high taxes, the highest amount of homelessness in America, out of control crime with defunded police departments and prosecutors that wont prosecute...I could go on and on.

Great job, Newsome!

 

[MrSquished]

He is doing such a great job ruining California that millions are fleeing high taxes, the highest amount of homelessness in America, out of control crime with defunded police departments and prosecutors that wont prosecute...I could go on and on.

Great job, Newsome!

If he ran on the platform that he would let Texas and the south secede from the Union, would you support him then? I think that's a great idea

 

[akugami]

He is doing such a great job ruining California that millions are fleeing high taxes, the highest amount of homelessness in America, out of control crime with defunded police departments and prosecutors that wont prosecute...I could go on and on.

Great job, Newsome!

Millions are fleeing California to avoid paying their fair share of taxes. They are also fleeing to Texas because that is one of the states without state income tax. You may disagree with the tax policy, but I don't see how this is ruining California. And every state government needs money to run. What they don't charge you in one department, they will charge you in another department. For example, Texas has the seventh highest real estate tax rate in the country, while California has the thirty-sixth highest real estate tax rate. Also, if Elon Musk is fleeing your state, I'd say good riddance.

Homelessness is high in California, but Texas ranks fifth. Florida, another bastion of the GOP ranks third in homelessness. If I was fleeing a state due to the high homeless population, I'd definitely not flee to Texas. Homelessness is a complicated issue, and not easily solvable.

Newsom did not defund the police. This is the most laughable of your arguments. It's another Faux News lie. During his tenure, Newsom has requested more funding for police. Some cities or counties in California did decrease funding slightly, but state wide, the overwhelming majority had funding increases between 2019 and 2022. In nearly half of the cities or counties, funding increased by more than 10%.

Newsom is on record as saying he disagrees with the policy of not prosecuting certain crimes. While his office can certainly make suggestions and provide guidance, ultimately, it is up to the individual prosecutors offices to prosecute or not prosecute certain crimes. I'm certainly someone who wants to be hard, but fair, on crime. But this is the local prosecutors declining to prosecute. So again, another false argument.

You could go on and on, but none of what you stated so far shows Newsom is ruining California, and most of it is false narratives. At best, you show areas he could improve. But we can say that about every person, whether they are a governor or just an everyday worker walking down the street.

 

[DaaQ]

No, I want the person with good credit to not be penalized.

Better hope you are never divorced, because your credit it hit immediately once it is filed, not even before finalized.

Now for any experts that may refute this, this was Michigan in 1998. Stuff may have changed but people not securely in the middle class are effected unreasonably. But since the middle class has unreasonably been decimated I guess it's a moot point.

Point still stands though why should lower credit be penalized so severely?

 

[Meghan54]

I'm done.... I My mortgage is essentially done and I don't plan on buying again.

Screw it.

Just a quick question or two…first, you realize this uproar is about loan origination fees and the like, not the mortgage loan interest, right?

Second…did you read this part, right? (In last paragraph in linked article.).

The fee reductions don't apply to borrowers with credit scores of less than 680…

So don’t worry, they’re still allowed to screw the really bad credit holders.