Sub-prime mortgage crisis or greedy disaster ?

The current Sub-prime mortgage crisis is due to greed and weakly regulated mortgage industry. This problem that plague's families all over the US was brought on by very unscrupulous mortgage brokers, all seeking high commissions. The favorite tactic (No Questions Ask Type Policy) used by them was the Hybrid-Adjustable Rate Mortgage(ARMs). These type of mortgages "balloon" after 2-3 years to a much higher interest rate. Many borrowers didn't know about the rates adjusting after 2-3 years. Still more were told they could refinance before the rate adjusted and then denied the chance to do just that by mortgage companies. Many who had difficulties making payments found unexplained fees added to their bills.

Sub-prime Mortgages carry a higher risk of default by the borrower than other kinds of mortgage lending. The scarier thing is 1 in 5 US Mortgages fall into this category. Still many who tried to get information when their home when into arrears had difficult times with lenders.

The Sub-prime mortgages companies and investors collectively own $1 Trillion in sub-prime debt. With the credit crunch hitting the nation it's no wonder that record numbers of families are losing their homes. In fact the first 8 months of 07 had 1.7 million foreclosures. The number is expected to climb by 2 million more foreclosures by 09. This is stripping American families of wealth and destroying whole neighbourhoods. The disaster is to the families screwed in the name of the ALMIGHTY DOLLAR. Not to mention the cities that have to clean up the neighbourhoods of condemned homes and crime at their own expense(taxpayer money).

I think the solution to the problem is the unscrupulous mortgage brokers and their greedy sub-prime mortgage companies should be held accountable for all the deceptive policies used to trick people into mortgages. The government needs to do away with sub-prime mortgages and have these brokers and companies make good to all the families screwed over by them. First all loans not in default need to be refinanced at fair rates and all later fees credited and any lost annuity due to decrease in home value should be payed back to the borrower. Second the people who lost their homes need to be put into a new home and given a fair rate and debt forgiven. Last but not least the mortgage brokers need their ability to work in the mortgage industry taken away and fined 10% of all the commissions made from ARMs. The mortgage companies need to be fined 25% of the profit made from ARMs. I think that all this greed has gotten out of hand, where is the ruler to pop the collective hand of the sub-prime mortgage companies.

Rising cost fo Wheat.

Has anybody seen the buzz about the cost of wheat on the Internet? It has tripled price for a 50# bag of flour in about a months time. This means the price of bread, pizza, and pasta will be going up. The US food stores is at a 60 year low. This is due to droughts in Australia, New Zealand, Africa, Asia, and the US. The US dollar is very weak against the EURO and other currencies. This has caused an increase in foreign nation to place future orders on 2 Million Metric tons of wheat from the US market. This is an increase of 10 times last years purchases. If the food stores in this country is at a 60 year low, then why does the Federal Government just sit back and watch it leave the country at record volume. Not to mention that our soy and corn crops are doing the same thing at record volume, leaving the country. So get prepared for high price spikes at the grocery stores, bakeries, and pizza places. This spells tough times ahead for Americans as we slide deeper into Recession, which I think is not far away from another Depression.

Global warming and Bio fuel's unseen damage.

I'm sure everybody has heard of Global Warming? This is a natural occurring process for the earth to do. But, What humanity has done is step on the petal and speed it up. The usage of oil and gas has done this very thing, raise the CO2 levels. Yeah enter Bio fuel the savior of humanity and the slayer of global warming(not). Do you know what is used to make most bio fuel? Corn and soybeans. This is a food source for humans and livestock. The farmers are selling their corn and soy crops to the bio fuel industry to make more money than feeding you, me, and the livestock(I'm vegetarian). This means less food for consumption, which is bad news for everybody. The price of food for the table and livestock will go up. The UN has said it will not be able to feed as many people in less developed nations because of food shortages. The rush to sell crops for bio fuel has increased the usage of nitrogen fertilizer, which is what is in the runoff from rainstorms. This is causing problems at the Mississippi River Delta's entrance into the Gulf of Mexico. The problem is DEAD ZONES(NO OXYGEN IN THE WATER). Yeah for our savior Bio fuel for taking away food from the table and livestock, also killing the ocean. There are better and safer alternatives to bio fuel. The first cars run on batteries and peanut oil before gasoline was used. Maybe we should come full circle and start using electric cars and vegatable oil. What do you think will happen if the farmers selling their crops as food have a bad growing season ?