Mortgage Consultant Role
Money, Banking and Financial Markets question related to the recent economic disaster?
Investment banks, commercial banks, rating agencies and mortgage bankers have all been blamed for various facets of the recent economic/financial crisis.
1) What services did they perform in the financial market related to the financial/economic crisis?
2) What was their role in the financial crisis?
3) What, if any, services did they perform inadequately?
1) Did they perform such services as a principal or agent?
2) Who were their primary clients?
4) If you were a consultant to Congress, what recommendations would you make regarding the group that you selected to address their activities and thereby that financial crises do not occur in the future?
Banks created money out of thin air (fractional reserve banking) and loaned this easy money to individuals (fooled by the low interest rates set by the Fed) causing a housing boom as people rushed to invest in housing.
Mortgage bankers also created securities and derivatives, to insure these mortgages against loss, and to allow investment bankers to gamble on their value (with cheap easy credit from the Fed). For example, here is a simple explanation of what went wrong with “collateralized debt obligations” – CDO
http://www.zerohedge.com/article/bank-cdo-self-dealing-and-modern-sotck-trading-dummies
Ratings agencies rated these securities as “AAA” i.e. very good investments, without even understanding them (or the risk of them), because the banks said they were good. Warren Buffet, one of the richest men in the world, called derivatives “financial weapons of mass destruction”, but nobody cared because they were all making money.
4- If I was a consultant to Congress I would tell them to stop interfering with the economy. Also, abolish fractional reserve banking to prevent massive uncontrollable increases in the money supply, which fuel speculative bubbles and economic “booms”. End the Federal Reserve and their price fixing (of money ie interest rates) activity, which destabilizes the economy. Allow the banks to go bankrupt. The constant bailouts will result in hyperinflation – these must be stopped NOW. However despite this more bailouts will happen, including the FDIC (bank insurance scheme), state governments such as California, state and federal pension schemes, and the federal government. All of these are bankrupt already and it is only a matter of time before they are bailed out.
If I was actually a consultant to Congress I would tell them 4) above, send this to a newspaper, and then set myself on fire. They would still not pay any attention.
The video below is one solution to the problem. It is very pro-government in theme (which actually sickens me to watch) but will give you some idea of the economic problems today. I prefer solutions based on the Austrian economic school (mises.org).
Racheli Smilovits, Ft Lauderdale, FL, Mortgage Consultant
Home Ownership Just Got Tougher
Lenders are tightening their standards for FHA-insured loans beyond what the agency requires
The above mentioned are the basic requirements in order to qualify for a home loan. Secondly, I was interested to know how big a home loan I could get considering Mortgage Consultant Role. As soon as I knew how much, I could start searching for a house.
Mortgage Consultant Role
Money, Banking and Financial Markets question related to the recent economic disaster?
Investment banks, commercial banks, agencies qualification and mortgage banks have been accused of various aspects of recent economic and financial crisis. 1) What services are provided in the financial market related to the economic and financial crisis? 2) What was your role in financial crisis? 3) What, if any, services are carried out properly? 1) Will perform services as a director or officer? 2) Who were your main customers? 4) If you were a consultant to Congress, what recommendations would you do with respect to the selected group to address their activities and therefore the financial crisis will not occur in the future?
Banks create no money (fractional reserve banking) and took the easy money of individuals (fooled by low interest rates set by the Federal Reserve) causing a housing boom as people rushed to invest in property. Mortgage bankers also created securities and derivatives, to ensure that these mortgages against loss, and to allow investment banks to bet on its value (with cheap credit easy Federal Reserve). For example, here is a simple explanation of what went wrong "secured debt obligations" – CDO add http://www.zerohedge.com/article/bank-cdo-self-dealing-and-modern-sotck-trading-dummies agencies rating these securities as "AAA", ie very good investment, even without understanding them (or threat thereof), because the banks said they were well. Warren Buffet, one of the richest men in the world, called derivatives "financial weapons of mass destruction", but nobody cared because they were all to make money – 4. If I was a consultant to the Congress would tell them to stop interfering with the economy deleted. In addition, fractional reserve banking to avoid increases uncontrollable massive money supply, fueling speculative bubbles and economic "boom." End Federal Reserve and fixation of prices (ie money interest rates) activity, which destabilizes the ecomomy. Allowing banks to bankruptcy. Constant bailouts result of hyperinflation – these should be stopped now. Yet despite this more bailouts will happen, including the FDIC (Bank Insurance Scheme), state governments such as California, the state and federal pension plans and the federal government. These are all bankrupt already and is only a matter of time before being rescued. If I was actually a consultant for Congress I would say 4), send it to a newspaper, and then set myself on fire. I still do not pay attention. The following video is a solution to the problem. It is very pro-government on the issue (which actually makes me sick to see), but give an idea of the economic problems of today. I prefer solutions based on Austrian economic school (mises.org).