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BumRushDaShow

(157,347 posts)

7. The "pieces of mortgages" slapped together as a "unit"

Reply to progree (Reply #6)

Mon Jun 9, 2025, 11:19 AM

Jun 9

(am guessing in order to "spread the risk" with a geographic diversity) was just mind-boggling to me. Like creating something out of thin air.

But agree that the credit raters really screwed the pooch regarding assessing (or misassessing) these new instruments.

All of this was why the creation of the CFPB that the GOP is in the process of attempting to dismantle.

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Hedge funds could make billions from a Fannie Mae and Freddie Mac spin-off [View all] BumRushDaShow Jun 9 OP

Not recalling that clearly, but wasn't the reason the government took them over mwmisses4289 Jun 9 #1

They fell into the "easy money" trap trying to regain market share from the loan sharks BumRushDaShow Jun 9 #2

Thank you for that. mwmisses4289 Jun 9 #3

Most welcome! BumRushDaShow Jun 9 #4

The two things that stood out for me from the housing bubble progree Jun 9 #6

The "pieces of mortgages" slapped together as a "unit" BumRushDaShow Jun 9 #7

With the usual cut being laundered as "campaign contributions" to republicans. PSPS Jun 9 #5