UK Mortgage brokers urge customers to lie about salary to get huge home loans

[nhboy]

"Unscrupulous brokers are encouraging homebuyers to lie about their finances to qualify for huge mortgages up to eight times their salary. Experts warn that the scam could drag Britain into a US-style subprime mortgage crisis.
LINK

 

[vraiblonde]

"Unscrupulous brokers are encouraging homebuyers to lie about their finances to qualify for huge mortgages up to eight times their salary.

Are people so stupid that they do not understand the concept of a mortgage payment?

So what if you qualify for a million $$$ home if you can't make the payments on it?

 

[Pete]

Here's a new thought for you. What about the mortgage brokers that only cared about making the loan and getting their commission? How many of them didn't care that the person couldn't make the payment, because the loan would be sold to somebody's pension plan by Wall Street and never come back to haunt them.

That is, until they started losing their jobs here lately...

Here is a thought for you. If a mortgage broker says "Patch, I can get you into that house right now and the payment is only $9,748.00 a month!" yet you only make $10K a month, whose fault is it if you sign up for it?

 

[MMDad]

Here's a new thought for you. What about the mortgage brokers that only cared about making the loan and getting their commission? How many of them didn't care that the person couldn't make the payment, because the loan would be sold to somebody's pension plan by Wall Street and never come back to haunt them.

That is, until they started losing their jobs here lately...

If someone is in the market for a car and all they can afford is a KIA, but they go ahead and buy a Corvette, do you blame the idiot for buying too much car? Or do you blame the dealer for selling it.

Do you blame McDonalds for selling supersize meals? Or do you blame the guy who ordered bought it, ate it, and had a heart attack?

Is Ron Popeil to blame when suckers are gullible enough to believe that apray paint will make your bald spot go away?

Blaming the market for the mistakes of the consumer is stupid.

 

[Pete]

If it ends up costing the taxpayers money, hurting our economy, bringing shame on our financial standing in the rest of the world, then I say the mortgage guy is scum...

How does it cost the taxpayer money if your private mortgage is in default? The banks and mortgage institutions calculate in a percentage of defaults in their forcasts anyway. The defaults are absorbed.

Our financial standing in the world is really really shamefull

 

[vraiblonde]

Here's a new thought for you. What about the mortgage brokers that only cared about making the loan and getting their commission? How many of them didn't care that the person couldn't make the payment, because the loan would be sold to somebody's pension plan by Wall Street and never come back to haunt them.

But, Patch, the buyer would certainly still be interested in knowing what their monthly payment is going to be. That's the first thing you ask after the broker runs the numbers.

If the broker gives you a payment of $4000/mo and you only bring home $4500/mo, wouldn't that be a clue to the buyer that they can't afford that house?

 

[vraiblonde]

If it ends up costing the taxpayers money, hurting our economy, bringing shame on our financial standing in the rest of the world, then I say the mortgage guy is scum...

That doesn't answer the question Pete asked, does it?

 

[Pete]

That doesn't answer the question Pete asked, does it?

She is gifted at that.