Stick it to the banks

[katkat]

http://www.nytimes.com/2010/01/10/magazine/10FOB-wwln-t.html?hp

"White has argued that the government should stop perpetuating default “scare stories” and, indeed, should encourage borrowers to default when it’s in their economic interest. This would correct a prevailing imbalance: homeowners operate under a “powerful moral constraint” while lenders are busily trying to maximize profits. More important, it might get the system unstuck. If lenders feared an avalanche of strategic defaults, they would have an incentive to renegotiate loan terms. In theory, this could produce a wave of loan modifications — the very goal the Treasury has been pursuing to end the crisis."

[villager]

1. People have to use what's left of their purchasing power -- mortgages, credit cards, et al

....and refuse to shower cash on those who are hijacking their government, and reaming them....

[Democrats_win]

2. Stick it to the banks! But let's hope that We the people are all right.

One older man in CO who has a reverse mortgage on his house got upset over rising credit card interest rates so he's decided to stop paying. It appears that he and his wife are "in a position" to act. Yet I fear for him. Wouldn't it be nice if the banks were afraid rather than the people?

[metapunditedgy]

3. I've wondered why homeowners don't band together.

1000 homeowners threatening default together would get some attention, I bet.