You can only live the big California dream on a credit card and a second mortgage so long.
Washington, DC (PRWEB) January 13, 2009
Americas Watchdog's National Mortgage Complaint Center has been blasting the U.S. Congress for over four years about a gigantic mortgage kickback double standard called a yield spread premium. A yield spread premium is a huge kick back banks, mortgage bankers & mortgage brokers get for inflating a homeowners mortgage interest rate, over the best rates available. The problem with this is pretty simple. Mortgage brokers must disclose this fee, banks and or mortgage bankers get the very same kickback, they just do not have to disclose it. This is also known as a ridiculous double standard. Why has the U.S. Congress allowed this? "Its pretty simple; banks and mortgage bankers give lots of money to the U.S. Congress to insure this double standard will continue to exist." According to Americas Watchdog, "Its time for Congress to do the right thing, and require all banks, and all mortgage bankers to do the same thing mortgage brokers have to do, with respect to the yield spread premium kickback. Every type of lender must have to disclose this yield spread premium kickback."
The National Mortgage Complaint Center estimates that 50 million current U.S. homeowners pay a higher monthly mortgage payment because the bank, mortgage banker or mortgage broker received a yield spread premium. The National Mortgage Complaint Center's Web site is located at http://NationalMortgageComplaintCenter.com. How can this be? According to Americas Watchdog, it's pretty simple; banks, mortgage bankers, home builders, and their slimy lobbyists give people like U.S. Senator Chris Dodd & or Representative Barney Frank lots of money, to keep things the way they are (AKA Campaign Donations=Banks have no disclosure requirement for yield spread premium kickbacks). According to Americas Watchdog and its National Mortgage Complaint Center, "and now the tax payers are getting stuck with the trillion dollar bar tab, from a bank, mortgage banker, home builder and a Wall Street inspired real estate boom, that was just as phony as Bernard Madoff's $50 billion Ponzi scheme? Not one U.S. Senator or U.S. Congressman has even mentioned the elimination of the yield spread premium kickback double standard that allows banks and mortgage bankers to not have to disclose a kickback for inflating a homeowners interest rate/ monthly mortgage payment to millions of U.S. homeowners.
As Long As The National Mortgage Complaint Center Is On The Topic Of Fraud:
- How come not one major U.S. homebuilder has been indicted for failing to pay billions of dollars in federal taxes on their workers? In the west, Southwest, Texas & Southeast, most of the workers who built the nations residential housing were undocumented workers and no one paid any taxes on them. The homebuilders simply 1099'd the undocumented worker. Where are the Congressional hearings on that? And now the homebuilders want a bail out? How about pay the Federal tax bill first.
- Where are the Congressional hearings on Congressman & U.S. Senators (Like Frank & Dodd) who had a special relationship with Fannie Mae? (A kind of give a donation & my committee looks the other way)
- Why do taxpayers have to bail out banks that promoted suicidal mortgage products like the pay option adjustable rate mortgage or the no document/stated income mortgage (AKA the liar loan)?
- How does a Federal Bankruptcy recast a mortgage let alone millions of them, without the federal courts ending up with a 10 year back log of cases?
- What happened to the TARP tax dollars that went to the "troubled U.S. banks?"
Note: Americas Watchdog & its National Mortgage Complaint Center are predicting that the U.S. residential real estate market will lose an additional 10% in valuation, with California residential real estate losing a minimum of 15% in valuation. "You can only live the big California dream on a credit card and a second mortgage so long."
The group is suggesting to the U.S. Congress, in the strongest terms possible, to not waste anymore money on bailing out U.S. banks or financial institutions. The group is also suggesting that Congress should also stay out of the mortgage business as long as we have elected officials on the payroll of big banks & mortgage bankers (Chris Dodd & Representative Barney Frank). "Please let the free market work, the largest pool of US consumers are now in high school, college or are recent graduates, and this will correct itself in a couple of years."
"In other words, a Nancy Pelosi $600 check, or a bridge project, will not fix the economy this time. How about tax cuts for everyone and tax credits for companies that hire new employees instead? How about a reduction in corporate and capital gains taxes? How about a little integrity on the part of our elected leaders in Washington, DC. You were supposed to be in the oversight business while all of this was happening. Being at a campaign fundraiser does not qualify."
The National Mortgage Complaint Cents Web site is located at http://NationalMortgageComplaintCenter.com. News media questions: please call 866-714-6466.