Why not set all mortgages now to the principle currently outstanding?

[LC EFA]

Skidmore  Donating Member  (1000+ posts)  Sat Feb-21-09 11:45 AM
Original message
Why not set all mortgages now to the principle currently outstanding?
   
With no interest. For a period of five years. Mortgages to be paid to the treasury directly. Get banks out of the mortgage business entirely for a period of time and only let them manage basic money accounts for a while until some reasonable regulations can be worked out and a restructuring of the whole finance industry occurs.

http://www.democraticunderground.com/discuss/duboard.php?az=view_all&address=389x5103489

An answer the dummie can understand. "That would be like, really bad, man".

Double T  Donating Member  (1000+ posts)  Sat Feb-21-09 12:00 PM
Response to Original message
2. All US financial institutions need to be dissolved and then start over with.........
   
tight regulations, oversight and mandated caps on interest and fees. wall street and the corporate banking system need to be gutted.

Coyote_Bandit  Donating Member  (1000+ posts)  Sat Feb-21-09 12:05 PM
Response to Original message
3. Ummmm......
   
So what are you going to do for folks that own their homes outright? Or are they shit out of luck?

I continue to be amazed by the so called progressives that advocate alternatives that are inequitable.

You probably have a gravel rash on your jaw from reading the stunning brilliance produced by your fellow DU'ers.

Skidmore  Donating Member  (1000+ posts)  Sat Feb-21-09 01:49 PM
Response to Reply #18
23. CDs and other accounts (e.g., checking and standard savings)
   
are not attached to real property. I was thinking about a way to isolate the real estate/mortgage end of the problem in a way that could possibly stabilize it. A reset option. Set it back to zero and start again. Otherwise, I think that there should be an expectation that people save a certain percent of their income. Now, you have a good point about the no interest end and I concur that a small interest rate should be charged on mortgages. The finance industry needs a serious revamping.

It's a day of brilliant economic ideas over there today.

[franksolich]

An answer the dummie can understand. "That would be like, really bad, man".

You probably have a gravel rash on your jaw from reading the stunning brilliance produced by your fellow DU'ers.

It's a day of brilliant economic ideas over there today.

Ah, yes, and the skidmarked underwear primitive, the late-middle-aged farmwife from eastern Iowa who thinks it's a good idea to threaten physical violence against political opponents, and wishes it were done more often, leads the pack with another great idea.

I'm hitting the sack; wake me up when a primitive comes up with a great idea that might actually work.

[Mike220]

I'm hitting the sack; wake me up when a primitive comes up with a great idea that might actually work.

You might have to change your name to Rip van Winkle in that case.

[Rebel]

You might have to change your name to Rip van Winkle in that case.

+1