ROAD TO RUIN: Mortgage Fraud Scandal Brewing Video

Criminal fraud may be the most underreported aspect of our current financial crisis. In this "Road to Ruin" report, former subprime lenders from Ameriquest, once the country's largest lender, describe a system rife with fraud. They describe how a "by-any-means-necessary" policy pushed employees to cut corners and falsify documents on bad mortgages and then sell the toxic assets to Wall Street banks eager to make fast profits.

@mandelman Dude, ...
@mandelman Dude, man. Thanks for putting up with? my beginner status. Untangling all of this stuff - all of the lingo alone - is causing brain pain. I've read through your response once. Another few times and it'll start to sink in! (You've got your own special folder on my desktop!) Anyhow, once again, gurt thanks for the reply. Here's to the end of the bankster occupation!

@5147848amp ...
@5147848amp Continued... 10. Last one... When countries get? into financial trouble, they have 3 options: 1. Devalue currency, but Greece can't because it's part of the Euro. 2. Slash interest rates, but Greece can't because rates are set by the EU Central Bank. 3. Print money and buy up debt, but Greece can't do this alone because of the Euro again. 4. A Bailout... that's where we are today. OR... Greece leaves the EU, defaults on its debt, and tells bankers to go fly a kite. Hope it helped...

@5147848amp ...
@5147848amp Continued... 9. In the case of Greece... Goldman Sachs helped Greece borrow, which countries do by selling bonds that comprise the National Debt. Interest payments on that debt can get quite large, and countries often have to sell more bonds to pay? the interest payments. Goldman helped Greece right into the poor house and as the country's credit rating fell, it was forced to pay higher interest rates to sell more bonds... until it was in a death spiral.

@5147848amp ...
@5147848amp Continued... 8. With no market for mortgage-backed securities, there was no secondary mortgage market, and then no mortgages, so housing prices went into a free fall... and foreclosures increased, which caused housing prices to fall further, which lowered spending, which made unemployment rise... which increased foreclosures. We entered a downward spiral, and we're still? in it today. The only lending going on today as far as mortgages are concerned comes from the government.

@5147848amp ...
@5147848amp Continued... 7. By the summer of 2006, Greenspan has raised interest rates 17 times in a row in an effort to cool off? the heated real estate market and the adjustable and teaser rate loans jumped up, and foreclosures started in the third quarter of 2006 as a result. By July of 07, S&P and Moody's, two credit ratings agencies that rate bonds, downgraded the ratings on 1,032 bonds and investors panicked because they no longer trusted the AAA and BBB ratings. Everything froze.

@5147848amp ...
@5147848amp Continued... 6. One type of derivative is called a "collateralized debt obligation," or CDO. Think of a CDO as a tower of BBB rated middle slices of mortgage-backed securities. Another was called a CDO squared, which was a CDO with even more leverage or borrowing employed. The banksters sold these type of investments all over the world to pension funds, European banks and? sovereign wealth funds, which are a country's investment funds.

@5147848amp ...
@5147848amp Continued. 5. The banksters created derivatives out of mortgage-backed securities. Derivatives are securities whose values are "derived" from other securities. Mortgage-backed securities were divided into "tranches," which is just French for "slices." The top slice was rated AAA, meaning it was supposed to be safe, but paid the least amount of interest. The middle tranche was rated BBB,? so it paid more interest, but was riskier. And the bottom slice paid the most, at the most risk.

Respond to this ...
Respond to this video... Continued... 4. Wall Street's bankers would like us to believe that it was? the "irresponsible borrowers" who are responsible for the crisis. It is nonsense. The bankers caused the crisis in every sense of the word. Imagine one loan for $100,000 being the collateral for $4 million in leverage. When the $100,000 loan defaults, it's not the $100,000 that matters it's the $4 million.

@5147848amp ...
@5147848amp Continued... 3. As long as things went up no problem, but when things went down their leverage wiped them out. Imagine investing $10 and earning 10%. You'd have $11. Now imagine investing $10, but also borrowing $90 so you invest? $100. If you made 10% you'd have $110, and after you re-paid the $90, you'd make an additional $10, which means you doubled your money. But if you LOST 10%, you'd lose $10, and be wiped out, because you only had ten bucks to begin with. That's leverage!

@5147848amp ...
@5147848amp Continued... 2. BUT... the global financial crisis WAS NOT CAUSED BY BAD LOANS. The meltdown in the fall of 2008, was not a function of bad loans, it was the leveraged securities that blew up Wall Street's investment banks. Inside a mortgage-backed security, you might find 5-10% actual loans, and 90-95% leveraged securities. Leverage is "borrowing". Wall Street's bankers borrowed against the securities they created in order to? amplify their returns.

@5147848amp In the ...
@5147848amp In the interest of keeping this simple: 1. Wall Street investment bankers, not investors, wanted "bad loans" because they were betting that the bonds into which they placed these loans would default. A credit default swap allowed an investor? to "short" the sub-prime market, by betting on a given bond's default. Credit default swaps also allowed investment bankers to believe that their positions were perfectly "hedged," which means protected in case of default.

Could someone give ...
Could someone give me a short tutorial.? I'm, like, no economist! First, why would Wall Street investors want anything to do with bad loans? Second, do these subprime loans have anything to do with Greece/the? recession in the Eurozone? Much oblige.

...and even after ...
...and even after all this time...? the criminals are still getting away with it

In California, ...
In California, there's a fiduciary law that the mortgage broker is to serve the client in their best? economic interest. But as you've seen in the crisis, who really follows the laws anymore.

@Beingreal40 Sad ...
@Beingreal40 Sad but true.? If the buyer had no outside knowledge about what was going on, they (buyer) would tend to trust the "expert". After all, the "expert" is ALWAYS right and can be trusted.

Still going,? going ...
Still going,? going... See ikeepmyhome site for all you can do about this crap.

Many Americans had ...
Many Americans had started making their homes the center piece of their finacial planning, so Wall Street had to destroy homeownership. First they pumped the? market by building millions of unneeded new homes, and creating easy (but dangerous) financing for anyone with a pulse to buy them. Then they created Credit Default Swaps to capitalize on the collapse, and started manipulating interest rates and lending standards to pull the rug out from under the whole thing. It's TREASON pure and simple.

Great? video! ...
Great? video! Informing everybody about this scams.

Mortgages that were ...
Mortgages that were based on Fraud?? I think. I want my house back.By The way... a multi million? dollar law suit and Jail time for all those who create the terms of those bad agreements. PERSECUTION.

Bank of America is ...
Bank of America is CRIMINAL. Besides all the things they do to credit cards, they are the MAIN PERPETRATOR? of Foreclosure Fraud, throwing people out of their homes by forging the documents. DEMAND that your bank produce YOUR ORIGINAL mortgage note with your "wet ink" signature (a copy is insufficient, just like a copy of a dollar bill is not a dollar). If the bank cannot produce YOUR original signed note, they can be sued for the mortgage amount +3 times the amt. They've been caught FORGING.

f**k them all f**k ...
f**k them all f**k f**k f**k f**k f**k f**k f**k ?

Bring these ...
Bring these bankster-gangsters down. The? scum

same situation.... ...
same situation....get an attorney..to much corruption in the paper system and mers...fight these jags. F@#k Chase and all the other banks.. They make way more on foreclosing? then modification. thanks to? the bailout to AIG and big banks.The Gov allowed this because all there buds (big banks ) were making huge money...and now with the biggest financial heist in American history they have hedged there bets and made money on the bailouts. For the people by the people.nope. For the Gov. by big bus.

my god the first ...
my god the first time I heard a black lady being? so articulate...

great? vid
great? vid

With 700,000 ...
With 700,000 claimants in the recent Ameriquest MDL class action settlement not many of the claimants are aware that we will only be getting around $30 each in the settlement after lawyers fees and other agreements in the suit. It is not fair! I am hoping the Judge? agrees and the suit starts over.

@HateClips I am ...
@HateClips I am also in this class action lawsuit. Not many are aware that with 700,00 claimants the amount we each would? get would only amount to $30 after the lawyers are paid!

Im glas that ...
Im glas that Ameriquest will be paying out to many homeowners which they ripped? off here soon in the mdl class action settlement. those people are worse than vultures.

It almost happened ...
It almost happened to me. Buyer beware -kiss my *ss, thaitanium12. I was relying on the expertise of the lawyers, brokers, realtors, title company, and closing agent. The ONLY reason I knew something was wrong was because I had accidentally found a few articles about mortgage fraud while looking up something else, or I'd have never known the "little" mistakes, blank areas on? paperwork, the lawyers (who were for the BANK, not me as my realtor intimated) wanting power of Attorney were suspect.

The Élite ruling ...
The Élite ruling class in America, we have 300 Million Americans but 20% of the Elite rule you know how they are and 2% at the top( 6 Million of them) ??? Third Fisherman: Master I marvel how the fishes live in the sea. First Fisherman: Why as men do a-land; the great ones eat up the little? ones Pericles, Prince of Tyre Vilfredo Pareto, Gaetano Mosca, Robert Michels, Niccolo Machiavelli Read, NYU Professor The Machiavellians Defenders of Freedom by James Burnham

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