I’m officially a few billion dollars over my malfeasance threshold.
The latest government bailout for corporate greed, the $275 billion to ease the home foreclosure crisis, is fundamentally just: keeping struggling families in their homes. My top complaint, however, is that it forgives — even rewards — mortgage companies who wrote bad loans knowing full well that the families couldn’t meet its terms.
So, I’m siding with U.S. Senate minority leader John Boehner.
“Does your plan compensate banks for the bad mortgages they should never have made in the first place?” Boehner asked in a quote in the New York Times. “Will individuals who misrepresented their income or assets on their original mortgage application be eligible to get taxpayer-funded assistance?”
Friends of mine left the mortgage business because they felt it was morally corrupt. As mortgage brokers, they gave rubber-stamp approval to families without means to pay. Now, their employers are being forgiven for their misdeeds.