I strongly opposed the appointments of each of the three blind mice, Bernanke, Geithner, and Summers to their posts overseeing our nation’s finances. With Summers gone, the other two need to follow. Bernanke has now thrown his support to allowing criminal Banksters to continue to steal people’s homes using illegal foreclosure procedures and other practices so deceptive that they would make a robber baron blush.
Top policymakers at the Federal Reserve are fighting efforts to rein in widely reported bank abuses, sparking an inter-agency feud with the FDIC and the Treasury Department. The Fed, along with the more bank-friendly Office of the Comptroller of the Currency, is resisting moves to craft rules cracking down on banks that charge illegal fees and carry ou et improper foreclosures. The FDIC supports such rules, according to an FDIC official involved in the dispute.
The new regulations would rein in debt collection, loan modification and foreclosure proceedings at bank divisions called "mortgage servicers." Servicers have committed widespread fraud in the foreclosure process. While the recent robo-signing of fraudulent documents has received the most attention, consumer advocates have complained about improper fees and servicer mistakes that lead to foreclosure for years.
"Given that we’ve seen a massive failure in servicing practices and a massive failure to address servicing in an honest way, I think this is important," says Joshua Rosner, a managing director at Graham Fisher & Co., and longtime critic of the U.S. mortgage system… [emphasis added]
Inserted from <Huffington Post>
The article goes on to analyze the abuses and the conflict in far greater detail, so I recommend clicking through to read the entire piece.
Geithner has not yet weighed in on the issue.
The financial reform legislation passed in the last Congress fell far short of what is needed, but not even using the tools that it does provide, as Bernanke and his minions suggest is nothing short of criminal!
13 Responses to “Bernanke Backs Banksters Again!”
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The FDIC has always been more above-board than Fed and Treasury. Sheila Bair (Yeah I know she’s a Repub but so are the other two) was talking about over-leveraging and the need for regulation BEFORE the crash, when Bernanke and Timmy were still leading cheers. Plus the FDIC does their job. Instead of bailouts they walk in the door and fire mgmt, write down the debt and wipe out the shareholders.
Tweedle-B and Tweedle-T should be frog-marched into Guantanamo. Unlike all the POW’s there, those bastards really belong in orange jumpsuits.
Oso, I don’t have a problem with Bair. Therefore, I expect they will kick her out of the party, I agree.
From the limited research I have done I find that at least some of the mortgage servicing companies are subsidiaries of the banks that they service. Now here is what i interpret, the banks are going to take a beating so use their subsidiary companies to squeeze the last drop out of the grape, then foreclose the property which even though does not have bubble worth still has in most cases value that can be held on the books as an asset waiting for the market to resurrect itself. That way the toxic part of the asset is somewhat offset through the double dealing by the servicing agency owned by the bank and the bank can then recoup at least it’s initial loan which if the house sells for the amount owned on it means that the servicer’s fees and collections transition from red to black ink on the books. Time to nationalize the banking industry before the Fed devalues the dollar to the point where we see 1980’s type of South American hyper inflation which is coming starting in the commodities markets which last week was selling 37 bushels of wheat (a metric tonne) for over $500 us dollars. another interesting thing to note is that the us dollar is now devalued to the point of parity with the Australian dollar hich always lagged our currency by at least 25%.
Get rid of whomever but if we let bankers back in again to run the monetary policy of the nation it doesn’t matter who’s face sits at the committee table talking shit, because it will be the same shit.
GOOGLE THIS:are mortgage servicers owned by the banks that they service the mortgages of
Mark I was aware of that. I’m not sure I would nationalize them, but I would break them up and return the separation between commercial and investment banking.
All the recent talk about Obama as the Comeback Kid is just a smokescreen intended to hide all of Obama’s glaring failures, only one of which is allowing Wall Street to run our economy deeper into the ditch. I cannot imagine how a man -allegedly as intelligent as Obama is reported to be- would allow the nation -which elected him to lead- to be sliced and diced without him being in thrall to the beneficiaries of his malfeasance. The fact that he does nothing about Geithner and Bernanke -except grant them even more autonomy- is an outrage. Or it would be if Fox was a real news organization and not the GOP propaganda organ.
I can understand why, in this rigged two-faced, one-corporate party racket we call American politics, people abandoned the Democrats after two years only to go to the Republicans who had created this mess over eight years. It is the only mechanism allowed in our political system to make corrections. The problem is that too many voters know nothing about how the Ship of State is constructed, nor how it is to be operated, so they don’t notice that the sails are shredded, the rudder has broken away, the hull is leaking, and what progress is made comes at the whim of the hurricane-force corporate winds.
This leaves us with two choices: go down with the ship, or strike out on our own in these stormy seas in an attempt to regain solid footing. I for one will again attempt the solid footing by not voting for either party’s representatives. Anything else is certain political doom.
Realist, I see your perspective and do appreciate your point of view, but as bad as the Democrats are, the Republicans are infinitely worse. Therefore, until another representative has a viable chance of winning a national election, thereby keeping Republicans out of power, voting for other representatives assists Republicans, the worst possible scenario.
Bernanke IS the head thief, as he is the head of The “FED”, which is about as federal as Federal Express! Bernanke IS the head of a group of PRIVATE BANKERS who own, control, and ARE the “FED”. It’s time to end the charade of the “Federal Reserve!” Remember, there was NO income tax before the Federal Reserve Act. I don’t mind paying a fair amount of tax for GOOD government, infrastructure, health care etc, but NOT to the “Fed” for printing up OUR currency (with NO accountability) out of some paper and ink, then selling it back to us at face value PLUS INTEREST! Forget government and the distracting politicians! Whoever prints the currency has the control! 👿
I think that federalizing the Fred is long past due.
P.S. NOT VOTING is NOT a solution; voting for a third party candidate IS. Remember Ross Perot?
Also, you are out of your mind voting for a republican unless you make $250,000 annually!
One last thing, do the country and yourself a favor; switch from a bank to a CREDIT UNION. 😀
Nikolai, I did that and am very happy with the decision!
Switching from a bank to a credit union, I mean. I did not have the temerity to vote for a Republican.
Phew! 😉
And what happened to Ross Perot? The most successful 3rd party candidate since since Teddy Roosevelt and won ZERO electoral votes. Fortunately, most of his following was from moderate Republicans.