Re: “Profits soar at 2 largest mortgage lenders” (TNT, 10-13).
This article was tempered with information about the big banks’ tax write-offs, considering their predatory behavior led to the collapse of the housing market.
The bankers knew the risk involved with ARM loans, questionable second mortgages and easily available equity credit. To protect themselves, the banks bundled the loans and sold them to unsuspecting investors, making a profit on top of the home loans.
When the economy collapsed, the banks claimed they were on the brink of insolvency and turned to the federal government for help. The taxpayers were …