OMG!!! Obama Administration pushing for a deal to settle home foreclosure claims

Glory, Hallelujah!!!

I am speechless!! This is great!!!

Well, until you really read the information a big thud comes upon you. As in, business as usual, as in no accountability but all deniability by banks, as in wrap this up because it can become a sore thumb in any re-election bid.

But, I was excited for a hot minute!! Now, not shocked at this deal, it is what we have witnessed the past 2-1/2 years from the Obama Administration.


The premise of this deal sounds solid, good but as you read it, if you were one of these homeowners is this good enough?

The bottomline is this:

Described as a "shock and awe" approach, the deal would accomplish the four goals set out by state and federal policy makers and regulators as part of their multi-agency investigations into abusive mortgage practices by the nation's largest financial firms: punish banks for violations of state law and federal regulations; provide much-needed assistance to distressed borrowers; stabilize a deteriorating housing market; and dissuade firms from abusing homeowners in the future.

The modified mortgages could cost the five financial behemoths -- Bank of America, JPMorgan Chase, Citigroup, Wells Fargo and Ally Financial -- as much as $30 billion, according to sources. Combined, the five firms handle three out of every five home loans, according to newsletter and data provider Inside Mortgage Finance.

It also could lead to reduced mortgage payments or lowered loan balances for nearly two-thirds of the 4.7 million delinquent homeowners who have yet to fall into foreclosure, according to data provider Lender Processing Services.

Forget those who have lost their homes due to malfeasance, fraud, trickery and theft by these financial institutions. Your loss will remain ignored, not recognized and part of collateral damage in the art of "CYA", Washington, D.C. style. Sorry, but that is what is going to happen.

What this deal WILL DO is to help homeowners who are delinquent modify their mortgages, forgive the principle and any balances on second mortgages/home equity loans will be written down or possibly eliminated.

All of this has to be ok'd by the federal government/agencies, banks, financial institutions, along with the states. Why the states? Well, many states have started legal processes against many of these financial institutions on behalf of their constituents.

In the meantime, the financial institutions, along with the federal government want this over and done with. Why? Well, the public dislike and mistrust of banks is clear, especially since these thieving robber barons was directly responsible for the fall of this country's economy. This the public understands VERY WELL. For the Obama Administration, they want this continuing talking point OFF THE TABLE. Their position will be, "see we have held the banks accountable and are helping millions of Americans to restructure their loans in a fair and timely manner." Not having this deal will continue to be a black eye to the Obama Administration, as they will be perceived as doing nothing and "In Like Flynn" with the banks. Remember, the public don't like the banks.

Meanwhile, banks, while eager to put the controversies over wrongful home repossessions and "robo-signing" behind them, do not want to be the only firms that pay for what could be a mass mortgage principal forgiveness scheme. They want government-owned mortgage giants Fannie Mae and Freddie Mac, which own or guarantee more than half of all home loans, to participate in any initiative that calls for lowering homeowners' loan balances. Fannie and Freddie's regulator has been reluctant to allow them to participate, citing his responsibility of minimizing the cost of the bailout to taxpayers, people involved in the talks said.

The Obama administration wants a quick resolution to the probes, and is putting pressure on the small group of state attorneys general leading their investigation to wrap it up, sources said. On Tuesday, Treasury Secretary Timothy Geithner told a Senate committee that "all parties have a stake in bringing this to resolution as quickly as possible."

"It's very important that we try to bring this to bed as quickly as we can," Geithner told the Senate Banking Committee.

If all goes well, this could go over well with the voters, maybe. But for those wanting an investigation from this Administration, IT AIN'T HAPPENIN'.....

Investors, homeowner advocates and law enforcement officials hoping for a deep investigation into allegedly widespread mortgage abuses by the nation's largest financial firms may ultimately be disappointed.

Lastly, the banks are still in charge where D.C. is concerned. They definitely will not sign any agreement with new rules and procedures attached, nor will they pay any new penalty fees that will not clear their name (I am not kidding about this).

But the banks won't sign any agreement that forces them to abide by new rules and pay substantial penalties that doesn't clear them of liability or at least significantly lessen the chance of a state-brought lawsuit, sources familiar with their position said.

In fact, the banks are crafting their own proposal. Did we think this would not happen?

In the long run, the Obama Administration must show that they have done something in regards to the financial institutions because this continues to be an anger point with voters out here. The banks don't want a full investigation and all their dirty laundry out for us to sniff and become even angrier, especially since that dirt will be legal documents with legal signatures, with financial executives still bringing in billions and no accountability like "hand cuffs" on these crooks. Oh, no, don't expect that to happen.

This is about the best that will come of a preliminary deal and I mean preliminary because as we know, deals change, whether we like it or not. This will be a public slap to the banks, while the banks will continue business as usual, which in the end is a sad state of affairs for government working and not protecting the public. The government does not work for the people, they work for the status quo and we all know who they are.

Elizabeth Warren says it the best about this mortgage mess:

“If there had been a cop on the beat with the authority to hold mortgage servicers accountable a half dozen years ago, if there had been a consumer agency in place, the problems in mortgage servicing would have been exposed early and fixed while they were still small, long before they became a national scandal,” Warren said in testimony before a House Financial Services subcommittee. She is point person for setting up the new Consumer Financial Protection Bureau.

If the Financial Regulation Bill had real teeth in it, we would have started to see real change. But, again, the status quo always win.

Cross-posted @ Daily Kos

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What is the point in financial reform, when there is NONE?

As long as the Democrats, Republicans remain beholded to Wall Street and the "too big to fail banks", there will never be any financial reform. And when the banks and Wall Street fuck up again, they will be running to Washington, D.C. again to bail them out. And guess what? They will continue to do so.

This reform by Chris Dodd and Barney Frank is a joke.

For all the proposals stuffed into its 1,336 pages, the financial reform bill that's headed to the full Senate soon will change very little for the banks that brought us the most dire financial system crisis since the Great Depression, critics say.

When proposed a year ago by Senate Banking Committee Chairman Christopher Dodd, D-Conn., the Restoring American Financial Stability Act of 2010 held enormous promise. The bill was supposed to unify a patchwork of rules and agencies, regulate a “shadow” banking system that hid the riskiest bets, protect taxpayers from picking up the tab for another bank bailout and create a new agency to protect consumers from predatory lending.

On Tuesday, Dodd repeated his commitment to get full Senate approval of tough new measures to address those issues.

"What I'm determined to do is get a strong bill," he told reporters at a news conference with Rep. Barney Frank, D-Mass., chairman of the House Financial Services Committee.

But Dodd faces an uphill battle. After a year of debate, the bill that emerged from the Banking Committee Monday was riddled with loopholes, compromises and watered-down provisions that undermined the proposals’ principal goals, critics say.

"It doesn't do any significant reform of the system that got us into this problem," said William Isaac, chairman of the Federal Deposit Insurance Corp. during the Reagan administration. "All it does is shuffle the same powers around among the same agencies in a little different way. It really hasn't changed anything."

Source

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President Obama's Weekly Address, March 20, 2010 (Video)

Time for Action on Financial Reform for the Economy

As a key committee in the Senate takes up reforming the ways of Wall Street, the President lays down a marker: “I urge those in the Senate who support these reforms to remain strong, to resist the pressure from those who would preserve the status quo, to stand up for their constituents and our country. And I promise to use every tool at my disposal to see these reforms enacted: to ensure that the bill I sign into law reflects not the special interests of Wall Street, but the best interests of the American people.”



Vimeo Video

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RESIGNATION TIME: Tim Geithner, Larry Summers, Rahm Emanuel must go

First off, I am glad that President Obama has decided to challenge banks, it is ABOUT TIME. Is it too late? For me, too early to decide, but devil is always in the details and until we see BOLD ACTION, it is another wait and see time for this White House.

Action against these banks should have happened DAY ONE when he stepped into the White House, not Day Two of Year Two.

Poll numbers and losing that senate seat in Massachusetts can be a huge wake up call that you can not ignore. Public anger is real, so the eyes are on President Obama and his action on this. Not words, ACTION. This means calling congress out by NAME if need be, going all over this country to make sure the public KNOWS what all this mean, no more too cute by half words, but this in lay man speak so my average Joe neighbor GET IT, it means using the power of the presidency as never before.

If Obama does not do this, the Democratic Party will be painted (as it already is starting to be) as the friends of Wall Street. Who wants to run on that one?

Tim Geithner needs to go. He never should have been confirmed. Today's revelation has shown us that maybe, just maybe, this White House is starting to NOT LISTEN TO GEITHNER. The move to back the Paul Volcker populist plan on reigning in these banks was a much needed breath of fresh air. Again, elections have consequences and I am really hoping it means the end of Geithner. Tim Geithner is compromised, always has been. His alliance has always been with Wall Street and these banks. It has been his bad advice to this administration and lack of movement that has now painted this White House as "Friends of Wall Street". He has not been honest or forthcoming of his past with this industry and it has spilled over to the street. He needs to go and I mean yesterday.

President Obama ask for his resignation and let the door knob hit him.

Larry Summers has advised this White House and President in horrible fashion. He and Geithner works in tandem, that means protecting the big banks and Wall Street. Remember, it was the arrogance of Larry Summers who proclaimed the "recession is over".



For this statement alone, he should have been ASKED, PRONTO for his resignation. How in the holy hell can you go to the American Public whose lives are in turmoil with unemployment, home loss, money loss, wages loss, no jobs around and have your number one man say this? HE NEED TO GO.

President Obama ask for his resignation and just remind yourself, "A bad choice for these times."

Rahm Emanuel has been NOT LIKED by many Democrats. Let's put it this way, for me, I tolerated him because President Obama has the right to pick and choose who he puts in his White House and Cabinet. But when they don't deliver, turn on members of the party with nasty rhetoric, misread the populus on what they wanted for healthcare, it is time to go. I state this because healthcare was to be Barack Obama's signature piece, we all know this, look at it now? Whether you agree with what it is about, if you even understand it, it was handled atrociously. And who is left with egg on his face? The President of the United States.

President Obama ask for his resignation and tell him good luck in running for Mayor of Chicago

I am a former member of the Navy, a proud member, when 16:30 arose on the 1MC one word was stated, "Sweepers".

It is time for President Obama to perform sweepers, instill and put people in these jobs that will serve him justice, pick up the pieces, listen to the public and move on.

Having a president out of touch when the anger is so intense is not a good thing, especially for us, but retooling and some fucking firing is a step in a right direction to getting his message back on track.

Finally, President Obama, taking your suit coat off and rolling up your sleeves to start fighting is not only justified but much NEEDED right now from you, FOR US.

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President Obama announces "The Volcker Rule" for big banks (Video)

This is a good start, now back it up with ACTION.


Transcript

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President Obama's Weekly Address, January 16, 2010 (Video/Transcript)

President Obama blasts the banks: "We’re not going to let Wall Street take the money and run."


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Transcript

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Well, we the American Public have made the big banks whole, JP Morgan record profit

Thanks to us, the American Public and our tax dollars. Oh and those JP Morgan bonus checks are going up 18%, YIPPPEEEEEE!!!!!

But, when will the American Public be "made whole". When is that bailout ferry coming down Main Street? Because it continues to pass us by....

The anger out in Main Street is real....

U.S. financial giant JPMorgan Chase said Friday it broke its revenue record in 2009, earned $11.7 billion in profits and would bump bonus checks 18 percent.

The bank is the first financial behemoth to release official records covering a controversial year in which taxpayers and politicians fumed over paychecks incomprehensible to some so soon after an industry bailout, The New York Times reported.

For 2009, JPMorgan set aside $26 billion for salaries and bonus checks for its employees -- an average of $272,000 per worker, although some checks would be far greater than that.

And the new tax that President Obama wants to put in place? Let us see how far that will go because so far, anything dealing with Wall Street has gone Wall Street's way from this administration. Is this tax a good political move for the Obama White House? Yes. Especially since many Americans feel this White House has not done enough to regulate these banks, push legislation against these banks, and have a compromised Treasury Secretary in Tim Geithner.

For this, the public is not asleep at what is going on.

Source

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President Obama to tax banks and bonuses obscene (Video)

This is a great speech, but the reality is that most of these banks repaid the loan, and have given the government and American people a big "F and U". They are not lending out money, they have increase huge fees to many Americans, they are just fucking outrageous. The bottom line is this, this government under the leadership of George W. Bush and Barack Obama just gave these banks money with NO STIPULATIONS. Just gave the money out up front with no conditions or stipulations. That is what happened, we all know this. Does anyone perform business out here and just give your money to someone/a business without stipulations? I am sure you do not, but the government does. And while Barack Obama is at it, get rid of Timothy Geithner, he is compromised, damaged goods and never should have been confirmed. Folks, until the laws are changed on the books and action is taken, having these speeches and giving outrage means nothing. If you want real change, CHANGE THE DAMN LAWS.



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When is Geither going to be asked for his resignation?

I don't know what more can be said about the problematic Treasury Secretary Timothy Geithner. The very same individual who has protected Wall Street, the Big Banks and AIG. It is these decisions that have the American Public currently red hot about tax payer money being used to save these industries, which put us in the bind we are in. And the big banks? The very ones who used our money at 1% interest, invested it, made a bundle, paid the government back and still are not lending to move this economy.

Again, when are we going to see some asses flying from posts under the Obama Administration. This is a valid question, because this is all about changing Washington and not remaining the same, right?

An arm of the Federal Reserve, then led by now-Treasury Secretary Timothy Geithner, told bailed-out insurance giant AIG to withhold key details from the public about overpayments that put billions of extra tax dollars in the coffers of major Wall Street firms, most notably Goldman Sachs.

The sordid tale unfolds in a series of e-mails between the company and the New York Fed obtained by Rep. Darrell Issa (R-CA), the ranking member of the House Committee on Oversight and Government Reform, and first publicly disclosed by Bloomberg News.

The matter is the subject of an "ongoing review" by the Office of the Special Inspector General for the Troubled Asset Relief Program (SIGTARP), communications director Kristine Belisle said in an e-mail to the Huffington Post. SIGTARP is headed by Neil M. Barofsky, a former federal prosecutor.

Taxpayers have committed about $182 billion to AIG. The under-regulated firm developed and sold complicated derivatives products without having adequate capital in place if those bets went bad, which they eventually did. The firm nearly single-handedly wrecked the entire financial system.

After the firm was given a taxpayer-funded backstop, one of its most controversial acts was to repay banks at 100 cents on the dollar for what was by that point nearly worthless insurance the banks had bought from AIG, known as credit-default swaps.

A brutal report issued in November by a government watchdog disclosed that AIG had actually been trying to negotiate better terms with the banks until - guess what? -- the New York Fed stepped in. The report held Geithner personally responsible, and led to renewed questions about his fitness for the job. read more here...

Geithner, for me was too close for comfort with his direct involvement of AIG and Wall Street. This disclosure to the public does not wear well on him nor the Obama Administration. Again, when is this man's resignation going to be on the President's desk?

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Obama and the polls a year later, not looking good

Again, Barack Obama and his mismanagement of the health care debate is a major reason why his poll numbers are where it is at, along with siding with the continuous bailouts of Wall Street, banks, automotive industry with NO RELIEF for Main Street. This equals anger out here and it is real. Barack Obama has done some good things, moving towards transparency, putting science first, standing with the military, movement in changing the education system, looking forward to climate change. But Obama must show more LEADERSHIP come 2010 because for many he lacked it in 2009. Sure, he had divisive people like the Republicans in his way, but they were always going to be there, Barack Obama must convey to this country what EXACTLY he wants, but more importantly he must DELIVER. And jobs? People don't believe this White House is focused on it, it clearly is displayed in the polling numbers. With no jobs, losing jobs, fear of losing jobs and the White House nonchalant to many, this is why the numbers are shitty.

Remember, people voted for Barack Obama on his agenda not for what is coming out of the White House now. So, if the middle class, independents, young, and many other are angry all Barack Obama needs to look at is right in his White House.

Until his behavior change, remove some people change, these polling numbers are going to continue to erode.

Wake up, Barack Obama. You are not on the ballot in 2010 but the WHOLE DEMOCRATIC PARTY is and if it is a bloodbath for Democrats, the blame will be put squarely on your shoulders.

The anger is real out here and our President better get in touch or we are talking bad times in 2010 for the Democratic Party.

From morning joe:



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The banks continue to make record profits on the taxpayer's back (Video)

Tim Geithner, a fan of I AM NOT, again continues to protect his Wall Street friends, but why shouldn't he? In this aspect, the Obama Administration is no different than any other administration that has sat in the Oval Office, for that is not change anyone can believe in. And progress? What progress? What happened to the transparency? That word is starting to be a joke. And the disparity of Wall Street to Main Street continues to erode. Folks, as the rich gets richer, the average joe/joesetta continues to be on the unemployment dole and unable to find a job. That is what 2010 forward will be all about. Many Americans don't follow the nitty gritty of politics, but they know EXACTLY what they had 5 years ago versus today, for that they understand they have gotten the bad end of the stick.

In Geithner, we trust...

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President Obama's memo to Wall Street during NY fundraiser (Video)

The financial industry joining the White House on financial reform? Folks, you think health care is a fight? The money is already flowing HEAVY through the halls of congress on NO CHANGE after the disastrous irresponsibility of Wall Street. In other words, the rich folks want to remain, RICH. It was Wall Street, the banking industry that paid so much money for deregulation it happened. Does it mean every time Wall Street 'eff up that we, the taxpayer are supposed to bail these rich crooks out? Hell to the naw, on that one, from me, but we saw what happened with Bush and Obama. This industry needs to be regulated and heavy. I don't want another dime going to these crooks. This is the industry that believes heavily in the free market and capitalism, yet they came running to the very government that they despise to save them. After what has happened, regulate them to the mo-fo hilt.



And if you don't get it? Watch the PBS Frontline: The Warning. After watching this you will scratch your head and ask, "Why are the same people who KNEW this was happening are still around? Like in the Obama Administration?"



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These Wall Street Big Bonuses are BAD NEWS

Yay, Whoop-de-dooo, the Dow Jones hit 10,000!!! Yay!!! The fat cat, thieves, company rapers have replenished their cash!!!! Yay!!!

That is the problem.

The average Joe and Joesetta don't give a mickey-fick about the Dow Jones hitting 10,000 points, THEY DON'T, but they understand that the rich people on Wall Street got over AGAIN.

That is the real problem.

Former President George W. Bush and current President Barack Obama forged ahead by bailing these crooked banks and Wall Street out with the tax payers dollars. We sat back this time last year and saw the bonuses out of this world, thanks to us, the tax payers making it so. Now we have to deal with this again?

The Obama Administration can talk all day and all night until the cows come home about Wall Street and greed, but until they fully are BEHIND regulatory measures to change what has happened to banking and this crooked industry, it will continue to be talk. And the public does understand the rich raking it up with a 10,000 Dow Jones and unemployment at 10%. Yeah, they get that picture fully.

It may be hard to believe but there was a time, almost 25 years ago, when Wall Street and Main Street weren't so far apart -- at least when it came to the average worker's salary and the average financial industry employee's annual bonus.
Back in 1985, the average annual salary for all workers across the country was actually a bit higher than the average bonus ($19,000 to $13,970). (Note: these numbers are not adjusted for inflation)

How times have changed - while the average bonus soared almost 14 times higher (by 2006), the average salary has essentially been stagnant sine the mid-1980s.

Though bonuses slipped sharply in 2008 amid the financial crisis, they're rebounding this year and Wall Street firms are set to pay out record amounts to their employees. Treasury Secretary Tim Geithner recently told reporters that banks will be making "significant changes" to the way they pay their employees, and called bonuses being paid out by bailed-out firms "deeply offensive." read more here...

Well, Geithner said significant changes would be made when all this went down early in the year, and as we see it the game still remains the SAME with the banking industry.

Again, until the Obama Administration is for real about real banking regulatory changes, it is just words going in one ear and out the other.

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Bank of America to change policies on overdraft fees

I have written about Bank of America (BofA) a few times. This bank was outrageous in its overdraft fees and I had to have it out with them to reverse the charges on what happened to me.

The atmosphere is toxic to banks from the public right now and rightly so. These companies have been complicit with Wall Street in the housing crisis and have had to have OUR MONEY to save their asses.

I was not a fan of Obama bailing these banks out because they chose to get in the predicament that these institutions were in, but to repeatedly shaft the public is just too much. Now change is in the air.

Bank of America Corp. said Tuesday it's capping the fees it charges customers for overdrawing their accounts, backpedaling on the hikes the company imposed just this year.

Starting Oct. 19, Bank of America said it will no longer charge overdraft fees when a customer's account is overdrawn by less than $10 in one day. A $35 fee will still be levied if the account isn't brought into balance within five days.

The Charlotte, N.C.-based bank also will limit to four the number of times an overdraft fee can be charged on an account per day. Just this year, the bank had raised that cap from five to 10. It also raised the fee this year for the first overdraft in a 12-month period to $35 from $25 — a hike that still stands. read the rest here...

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Michael Moore's new film, CAPITALISM: A LOVE STORY, must see

This is one documentary that I will go into the theater to see. Why? It is all about capitalism, Wall Street greed, the status quo, the damn banks, the financial structure in this country.

It is already getting rave reviews all over the country and internationally. Always remember, Michael Moore was always ahead of the game with Roger and Me, Fahrenheit 9/11, Sicko. He was CORRECT in what was going to happen, and he is CORRECT in what is happening now. Status Quo and Greed has no party label and what is happening to folks out here in this country is across the board.



Barack Obama Must See Michael Moore's New Movie (and So Must You)!

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Banks continue to gouge its depositors

Well, I bank with Bank of America. I have had issues with this bank for not posting checks in a timely basis, which ended up in huge bank fees. I was able to get everything reversed and from that incident, I watch everything like a hawk with this bank.

But, Bank of America is not the only one who gouges its customers, most of these banks do. This brings me to why the American Public is very angry at bailing these banks out and definitely do not want ANY MORE TAX PAYERS DOLLARS going to the banking industry, period. This industry tied with Wall Street is the reason the housing market is HOSED.

So, like a cheap suit, when you need money you try to get it the best way you can, even if it means abusing your depositors.

A backlash is brewing on Capitol Hill against banks that charge large fees for overdrafts without asking or telling customers, the latest sign that the financial crisis is shifting the balance of power from banks toward borrowers.

Banks struggling to survive have become increasingly reliant on the fees, which could total $38.5 billion this year.

But congressional Democrats, who pushed through new restrictions on credit cards this spring, now are promising a crackdown on overdraft fees, using words like "criminal" and "rip-off" to describe the practice of letting people overspend and then charging them fees without warning. Most overdrafts are now incurred on debit card transactions. read more here....

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The gig is up

if you are hiding your dollars in Switzerland and not paying taxes, the gig is up!!

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Obama speech on financial reform for Wall Street and Banks (Video and Transcript)

MSNBC Video

Financial Reform

Transcript

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