I didn't realize GM owned Ditech. Interesting column by Kunstler today

[lectrobyte]

http://jameshowardkunstler.typepad.com/

That's right, Ditech, the outfit that advertised incessantly on TV, promising that house-buyers could sleepwalk their way into mortgage approvals -- and thus frustrate all the smarmy, over-fed, punctilious bankers who obstructed such requests with pain-in-the-ass qualifying protocols and burdensome paperwork. Last week GM put off filing regular required financial reports because of disarray in its Ditech operation. Ditech is responsible for as much as $80 billion in mostly sub-prime house loans -- i.e. given to people with dubious prospects for repayment. But GM's Ditech is but one of scores of entities now choking on non-performing paper (and many of Ditech's rivals are now bankruptcy road kill).

[Corgigal]

1. I have a ditech mortgage

It's not sub-prime. My fico was good and I didn't miss any payments. It's 5.7 and it's taken out every two weeks so the loan is only for 23 years.

I had a friend, who's Fico wasn't good and slow on some payments who tried to use them. They turned her down. I don't know what this writer is bitching about. No different then any other mortgage company.

[lectrobyte]

2. I don't think he has any particular bitch with Ditech, just pointing

out that GM put off filing regular required financial reports because of disarray in its Ditech operation and he sees it as a symptom of something bigger.

[blitzen]

7. I totally agree...Ditech is good

My fico is in the excellent range...I've refinanced with them a few times--they're very efficient, have the lowest rates, and by far the lowest closing costs.

[Systematic Chaos]

3. A little quote for the Environment/Energy "renewables" fanbois:

"Evidence now conclusively shows that Saudi Arabia's oil production was down 8 percent in 2006 over 2005, even while the number of oil rigs went up substantially -- indicating that the Kingdom is drilling as fast as it can and still losing ground. (Production slipped from 9.9 million-barrels-a-day to about 8.4 mm/b/d.) Mexico's Cantarell field is crashing (minimum 15 percent annual decline and possibly much steeper rate, meaning in a year or two the US will cease getting oil imports from its number two foreign supplier). The North Sea is crashing, too. Russia is about show steep decline. Iran is past peak. Iraq, as every six-year-old knows, is the world's clusterfuck poster child. Indonesia (OPEC member) is now a net oil importer. Venezuela is past peak and full of loathing for the US. Nigeria is collapsing politically. No amount of corn is going save the Happy Motoring utopia, and that's really all our economy is now based on."

Tells it like it is, and gives me tons of darkly comedic visuals involving Jerry Lewis and yellow cake!

We're screwn.

[lectrobyte]

4. Well, you have to take Kunstler's gloom and doom with a big grain of salt. I like

his column because I usually learn something from it. That said, though, I really think Peak Oil is the elephant in the living room. As with many things in life, I don't think we'll deal with it until we are forced to, and I'm just hoping that it's not too late then.

[northzax]

5. it's no secret that the only reason GM

isn't losing even more money is from financial entities (Ditech, GMAC, etc) for the last couple of years, only GMAC has been making any profit at all.

[bullimiami]

6. i think it was just recently i noticed mention of GMAC at the end of the ditech

commercials.

has GM always owned it or is it a recent aquisition?

[blitzen]

8. I think it was acquired a few years back....

I know I used to make payments to "ditech" but now to "gmacmortgage"

[Kolesar]

9. GM formed Ditech out of the GMAC car-loan business

I think GM sold <1/2 of Ditech a few years ago under "shareholder pressure" to "release the value" in the company. :skepticism: