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Old 10-13-2008, 03:59 PM   #23
jetstream23
recovering from turf toe
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Join Date: Dec 2005
Location: Phoenix, AZ (New Jets Stadium Section 246)
Posts: 31,597
[QUOTE=CTM;2803242]Good post

Of course this whole thing was a comedy of errors but the bottom line is that if the Fed had raised interest rates quicker the bubble would've never gotten so big and [B]some[/B] of this would've happened. Imo, it's the single biggest reason for all of this considering how easily it could've been stopped.[/QUOTE]

Fixed. I partially agree. Excessively low interest rates were part of the problem but there were many others including convoluted and almost outright illegal mortgage products being pitched to people who didn't take the time to understand them.

[COLOR="SeaGreen"]"Oh, you mean my $920 mortgage payment could become $1850 in 24 months?"[/COLOR]

[COLOR="SandyBrown"]"Yes, but that's okay because your house will probably be worth double in 2 years and you can refinance."[/COLOR]
[COLOR="seagreen"]
"Cool. Sign me up."[/COLOR]
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