Here's a pretty typical story posted today. $6800 in monthly expenses, $4500 in monthly income, used up the housing ATM, house they can't afford, looking at BK...
Big screen TV's, Hummer H2's, etc etc most likely
Living in Arizona, I see these people every day. There's gotta be millions of these cases out there.
"I am starting to get into rough times financially. My mortgage is going up an extra 900 a month leaving my mortgage to $3400 a month.
My bills monthly with everything food, gas, utilities, etc. total to almost $6800 a month. credit card bills are 800 a month. My husband and my income total together is only $4500 amonth.
We made bad decisions by refinancing a lot in the last two years and the closing cost, prepayment penalty fees ate up alot of our equity. I paid off our cards and unfortunately have run them up again to get cash to pay bills and stuff.
We will now just be concentrating on paying our mortgage and some bills and I have been trying to get an extra job with no success. So my credit card bills will be behind in a couple of months and unless a miracle happens, it will be delinquent. I want to know what I should do. If I should just pay what I can monthly or claim bankruptcy? Total CC bills is 30,000. Please advice."
Here's SoCalMortGuy's response:
But I don't fault just them. I fault the "do gooding" lender that gave them a loan (actually multiple "refi" loans) in the name of "helping them achieve the American Dream of home ownership". Since these borrowers obviously aren't that 'up' on basic math, I'm sure the broker realized it, and made a fat commission on them
I'd personally fault everyone involved - the borrowers, the mortgage bankers, heck, even Best Buy, "Pimp My Ride", "Cribs", Congress, the American marketing machine, and the media.
What a mess.
January 05, 2006
HP Readers - check out "another f*cked borrower" blog
Subscribe to:
Post Comments (Atom)
18 comments:
That poor sap should sell her house now and start renting while using what ever is left of the equity to pay those silly credit card bills. Even if housing goes up, it wont go up more than the 20% rate she is paying to VISA!
bake - it starts there. but these folks are idiots, and a lot of people were driving the idiot train, knowing they were screwing people to make some almighty $$$$$
nice way to make a living, eh?
When I was a kid, I knew who the "poor families" were. Maybe they had too many children, or dad had a low-paying job like janitorial work.
Imagine being visibly middle-class, but beyond broke like this, and having "we spent too much" be your only explanation for it. How to explain this to the kids?
These people are doomed.
when I was a kid, people spent what the made or less
nowdays, people live way beyond their means, take out 2nd mortgages, have 5 credit cards, don't save a penny, and rely on their house as their retirement account
we're f'd.
Yes Keith, and that is the reason our economy is doing so well even though we dont really make anything in this country.
The day Americans cut up their credit cards and return to only spending what they make is the day our entire economy falls apart.
they might not have a choice
periods of easy credit are followed by periods of tight credit
Keith:
Here's a listing I found on criagslist.
Hi,
My name is Tiffany and of course this is probably the millionth sob story but there may be someone that's in the mood to open their hearts to me. Those of you that are single moms can attest to the fact that you have to make a way somehow and sometimes you have to beg for things.
Anyway, I have $1800 dollars to spend plus $500 per month to pay someone that just wants to get rid of their car. Also, I'm starting a house flipping business so once I sell the homes, you could get at least a $5K payment. They are not immediate and would possibly take up to a year to pay you. And to all the car dealers that may see this, I am unble to secure anything through my credit because I work for myself.
If this sounds like something that you would be interested in, please feel free to e-mail me. Thanks
* This item has been posted by-owner.
* this is in or around XXXXX, FL
* no -- it's NOT ok to contact this poster with services or other commercial interests
Does anyone else think it's wierd that the self-proclaimed single mother is not able to afford a car yet she is starting a house-flipping business and expects to make tons of $$?
We are so screwed. (Keith, this would make a great main post)
Woo Hoo!
Fannie Mae (FHM) shares jumped more than 9 percent, hitting an intraday high of $53.60 -- a price not seen since August. The stock at midday traded up $4.54, or 9.3 percent, at $53.29 on the New York Stock Exchange.
As a former "Credit Sinner" I can tell you from first-hand experience that ONLY these people are at fault.
No lender put a gun to their head.
The bottom line is this:
It all comes down to managing your emotions. I don't give a damn about "I.Q.", it's all about having the emotional maturity to show restraint.
Not only in one's financial decisions, but also in the decisions regarding drinking alcohol, taking drugs, eating too much, or other out-of-control behaviors.
It is little wonder that the U.S. is teeming with fat, alcoholic, drug-addicted, indebted fools.
Flash: FNM still F*CKED
Down from $70 to $53 past 12 months. Scandal reports still outstanding. Congress still to redefine role and call for selloff of portfolio
And this report this afternoon:
Rudman Disputes Fannie Mae Probe Report
Thursday January 5, 4:48 pm ET
Warren Rudman Disputes Report That Says His Probe Found No New Accounting Errors at Fannie Mae
WASHINGTON (AP) -- Former Sen. Warren Rudman, who is heading up an internal probe into Fannie Mae's finances, disputed a Thursday morning news report that said his team hasn't uncovered any new accounting errors at the company "significantly beyond those already revealed," and attributed the information to him.
ADVERTISEMENT
Fannie Mae's stock rallied more than 12 percent in midday trading Thursday before closing up 9.1 percent, or $4.43, at $53.18 on the New York Stock Exchange. Analysts attributed the jump to a Bloomberg Business News story that quoted Rudman as saying "there is nothing new and alarming that we have come across." The story interpreted his comments as "signs investigators have found no more mistakes" at Fannie Mae beyond the $10.8 billion in losses and several other less costly accounting errors the company and regulators have already acknowledged.
"My comments (to Bloomberg) were revolving around the reason for the delay and nothing else. If anyone wants to draw any conclusions from that, they're free to do so. But that's not what I said," Rudman told Dow Jones Newswires. "There are things beyond the specific items mentioned in the two OFHEO reports or by the company that will be in our report, but that's not new information."
**Does anyone else think it's wierd that the self-proclaimed single mother is not able to afford a car yet she is starting a house-flipping business and expects to make tons of $$?***
Not that surprising, when you remember these magic words: As Seen On TV!
I can forsee one of two things happening to get us out of this over-extended fiasco in the united states:
1)
People give up their bling-bling lifestyles and return to working factory jobs at just above poverty-line wages, i.e., return to an industrial economy like it was at around 1900.
2)
That we completely reform our educational system so that it prepares people for a post-industrial society. Our schools are geared towards cranking out compliant, rule-following people who have just enough basic math and reading skills to fill out a tax return. We need a complete educational reform to fast-track people into scientific and engineering disciplines, and those who can't cut it would be sent to "apprenticeship" type trade schools (auto mechanic, electrician, what-have-you).
The first one is pessimistic, but the easier solution to accomplish, only by locked people out of buying hummers, McMansions and HDTV.
The second is optimistic, but nigh-impossible to accomplish. We have to somehow convince the public school system to move money out of sports and pep rallies into um... education, and somehow convince teachers unions to give up their precious tenure system and replace it with a merit-based system.
Were is the accountability in the industry?
Hey, you have a great blog here! I'm definitely going to bookmark you!
I have a tenant credit reports site.
Come and check it out if you get time :-)
Greetings.
Hi Fellow! I was just searching blogs,and I found yours! I like it!
If you have a moment, please visit my arizona morgtgage site.
Good luck!
Hi there Blogger, a real useful blog.Keep with the good work.
If you have a moment, please visit my automobile insurance rate quotes site.
I send you warm regards and wishes of continued success.
Hey Fellow, you have a top-notch blog here!
If you have a moment, please have a look at my secured debt elimination site.
Good luck!
I am here because of search results for blogs with a related topic to mine.
Please,accept my congratulations for your excellent work!
I have a antique ford cars for sale site.
Come and check it out if you get time :-)
Best regards!
Post a Comment