Anatomy of a Swindle

Freeance and Peance--I mean, Hold 'em or Fold 'em

Markus has a good, solid analysis of what the administration's rejection of the Baker bill is all about:

Two things are underway here. First, the Compassionate Conservative in Chief is prepared to allow hundreds of thousands of Louisianians to lose all of their equity and go into bankruptcy. Those folks will then spend the rest of their lives paying out the rest of the mortgage on their ruined homes under the less-than-generous terms of the new bankruptcy bill. He gets paid either way, so that's not a problem. For him.

Later the CCinC will step in to save the home building, mortgage, real estate and related industries by bailing out the mortgage holders. This is perfect consistent with the way the current batch of politicians in Washington like to do things, going back to the Savings & Loan bailout. Remember that one? The average Joe and Jane got there couple of thou' from the FDIC and lost the rest. The people who milked the system for all it was worth got to keep all of their illicit gain.

As if this weren't fun enough, consider my wife's thought this morning. Be prepared to be inundated with calls from helpful people willing to cash you out of your house for dimes on the dollar--of your lot value. When they figure this out (if they weren't in from the beginning), the vultures will no longer be circling. They'll be sitting in the tree over your sorry ass, practicing their four part harmonies and waiting to come in for dinner.

We are being swindled Texas-big, by people who know how its done. Forget fair buyouts. The speculators will flock in and buy up vast tracts of property for next to nothing. When you're done endorsing that paltry check to the mortgage company, the guys in the White Hats (the ones with hats only, no cattle) will jump in and take care of the rest of your mortgage. Well, not the rest of your mortgage. You'll go to your grave owing on that. But the mortgage holders will get theirs. Just you wait and see.

But don't panic. It's hard to get took when the guy standing in the doorway hands you a card that says George W. Texan, Grifter on it.

Before you accept that offer for dimes on the dollar, lot value only, remember: there's no way they're going to let the mortgage people go under. Like all good scams, this one only works if we're willing to play along.

Don't let them get away from it.