Mortgage Mess...why is this never mentioned?

reply to post by phinubian


Hi Phinubian,

Just to clarify I did state that there was blame at virtually every position along the way for the situation that many are in. In no way was I saying others were blameless. The whole point of the thread was not to re-open discussion about who is to blame (there are already threads discussing that) but rather to ask why no one ever mentions attorneys at all.

Also I don't feel that the types of products themselves are unethical, just the fact that they were sold to the wrong people. Since we didn't feel we needed to take the risk to offer exotic products, we didn't. That way we didn't have to worry about what is happening now to so many mortgage companies going out of business.

I personally don't buy the propaganda that people are not responsible for their actions. Ultimately, we are completely and totally responsible for any contract we enter. If we allowed someone to snow us in some way, shame on us, but that does not relieve our responsibility in any way, shape or form. If we are not competent enough as a consumer to buy something, we should not buy it...at least not until we retain someone to assist us (hence my reference to the attorneys who were supposed to be doing that.)

I just can't for the life of me understand what has happened to personal responsibility in this country...and why everyone thinks they are a victim.

Sometimes it's wise to dig a little deeper than the surface to find the corpse, instead of just playing around with the top-soil, that has no clue to the problem, except media lies, deception and diversions. To many, this situation seems to be a sudden shock but in reality it's been always there staring at you on the face, just waiting to pounce at the strike of the pen.

1861: President Abraham Lincoln (16th President of the United States from 1860 till his assassination in 1865) approaches the big banks in New York to try to obtain loans to support the ongoing American civil war. As these large banks were heavily under the influence of the Rothschilds, they offer him a deal they know he cannot accept, 24% to 36% interest on all monies loaned.

Lincoln is very angry about this high level of interest and so he prints his own debt free money and informs the public that this is now legal tender for both public and private debts

iamthewitness.com...

The answer to your question is this:

Closing attorneys are not there to advise borrowers on how good or bad the deal is that they are signing. Closers are there to explain any and all questions that the signer may have that is pertinent to the loan dynamics and it's amortization. Closing agents are there to explain what the mortgage jargon being used in the final documents may or may not mean. They are more of a translator than that of an advisor.

I live in North Carolina, I am a mortgage broker, and if I find out that a notary or attorney that has been assigned to oversee the closing is advising the client on whether or not the loan that they are signing is a "good" or "bad" decision, I get seriously irrate. The notaries and even most attorneys are not qualified to advise a client on if a loan is good or bad simply because they have not worked with that borrower, they do not know the clients financial or credit situation or what their goals were when they set out to accomplish a home loan.

To sum it all up, it is not the responsiblity of the closer to provide any opinion on the actual dynamics of the loan being signed, they are only there to guide the borrower through the signing and to answer whatever questions that the borrower may have about specific topics pertaining to the loan. When I schedule a closing I am emphatic about giving the closer as well as the client my direct phone number so that if issues may arise they can contact me directly.

If anyone should get kicked in the ass in this mortgage process but rarely take any blame, it should be the greedy realtors who would sell their mother to unload that big expensive house and collect on that 6-8% commission (for basically doing nothing). Also realize that as loan officers, we would never be able to sell a bad product if the greedy bankers and investment firms didn't design it and introduce it to market. Banks make more off of high risk borrowers, end of story.

They went for it all and it blew up in their faces. That is why over two hundred major lenders have closed their doors in just over a year and a half. Personally I have always avoided designer loans, ARMS, over equity loans etc because I knew that they were a bad idea for the lender AND the borrower alike.

This is why I am still making a great living doing what I love and the scammers and crooks who once plagued our industry are all selling insurance now.