Tom Francis - SWSports wrote:
On Fri, 05 Dec 2008 12:49:55 -0500, "Reginald P. Smithers III, Esq."
wrote:

Loans are available for anyone with good credit. They are being
selective on who they make loans to.

Really?

Go get a car loan from a bank with a 720 credit score.

Go ahead - I'll wait.

That's your problem, you need to get your credit rating up in the 800's.

On Fri, 05 Dec 2008 12:49:55 -0500, "Reginald P. Smithers III, Esq."
wrote:

Eisboch wrote:
Help me out here.

I hear the economy is frozen. Banks won't lend. No mortgages. Hoarding
their bailout money.

Yet, virtually every commercial break on MSNBC or CNN features at least one
pitch from a major bank or a mortgage company (Ditech comes to mind, which
is a GMAC subsidiary) offering low interests mortgages, loans and "we have
money to lend" announcements.

So, why aren't they lending? Seems to me that this would be an ideal time
for people to re-finance for lower rates, etc.

Economics confuses me.

Eisboch




Loans are available for anyone with good credit. They are being
selective on who they make loans to. The problem we had with Fanny Mae
was making loans for more than the home was worth, to people with bad
credit, and who were not putting any money down. It was a govt. plan to
allow everyone to own a home. The problem is, without a down payment,
the homeowner had no more invested in the home than when he was renting
an apartment.

Wait a minute here. The regulators wanted to hold Fanny and Freddie's feet
to the fire and got their butts chewed by Barney and Chris. I remember
seeing that!
--
John H.

On Fri, 5 Dec 2008 11:26:55 -0500, "Eisboch" wrote:

Help me out here.

I hear the economy is frozen. Banks won't lend. No mortgages. Hoarding
their bailout money.

Yet, virtually every commercial break on MSNBC or CNN features at least one
pitch from a major bank or a mortgage company (Ditech comes to mind, which
is a GMAC subsidiary) offering low interests mortgages, loans and "we have
money to lend" announcements.

So, why aren't they lending? Seems to me that this would be an ideal time
for people to re-finance for lower rates, etc.

Economics confuses me.

Eisboch



I applied for an LL Bean card over the internet last week. I filled out the
application, hit the button, and was approved within about seven seconds.
For $31,000! Hell, all I wanted was free shipping and monogramming.

Don't ask me what's going on. I think the liberals just want to bitch about
banks and anything that's non-union. It'll all get fixed when Obama takes
office.
--
John H.

"JohnH" wrote in message
...
On Fri, 5 Dec 2008 11:26:55 -0500, "Eisboch" wrote:

Help me out here.

I hear the economy is frozen. Banks won't lend. No mortgages. Hoarding
their bailout money.

Yet, virtually every commercial break on MSNBC or CNN features at least
one
pitch from a major bank or a mortgage company (Ditech comes to mind, which
is a GMAC subsidiary) offering low interests mortgages, loans and "we
have
money to lend" announcements.

So, why aren't they lending? Seems to me that this would be an ideal
time
for people to re-finance for lower rates, etc.

Economics confuses me.

Eisboch



I applied for an LL Bean card over the internet last week. I filled out
the
application, hit the button, and was approved within about seven seconds.
For $31,000! Hell, all I wanted was free shipping and monogramming.

Don't ask me what's going on. I think the liberals just want to bitch
about
banks and anything that's non-union. It'll all get fixed when Obama takes
office.
--
John H.

Not really a good idea to open a lot of credit accounts for the sake of free
shipping, etc. It can affect your FICO score negatively.

On Sat, 6 Dec 2008 08:33:40 -0500, "D.Duck" wrote:


"JohnH" wrote in message
.. .
On Fri, 5 Dec 2008 11:26:55 -0500, "Eisboch" wrote:

Help me out here.

I hear the economy is frozen. Banks won't lend. No mortgages. Hoarding
their bailout money.

Yet, virtually every commercial break on MSNBC or CNN features at least
one
pitch from a major bank or a mortgage company (Ditech comes to mind, which
is a GMAC subsidiary) offering low interests mortgages, loans and "we
have
money to lend" announcements.

So, why aren't they lending? Seems to me that this would be an ideal
time
for people to re-finance for lower rates, etc.

Economics confuses me.

Eisboch



I applied for an LL Bean card over the internet last week. I filled out
the
application, hit the button, and was approved within about seven seconds.
For $31,000! Hell, all I wanted was free shipping and monogramming.

Don't ask me what's going on. I think the liberals just want to bitch
about
banks and anything that's non-union. It'll all get fixed when Obama takes
office.
--
John H.

Not really a good idea to open a lot of credit accounts for the sake of free
shipping, etc. It can affect your FICO score negatively.


You get to a point in life where you don't really worry about your FICO
score. I'm there.

Anyone looking at the two credit cards I carry would never see a dime's
worth of interest paid to either company.

I've actually got a pretty good score, for a guy who was stupid enough to
get drafted.
--
John H.

"JohnH" wrote in message
...
On Sat, 6 Dec 2008 08:33:40 -0500, "D.Duck" wrote:


"JohnH" wrote in message
. ..
On Fri, 5 Dec 2008 11:26:55 -0500, "Eisboch"
wrote:

Help me out here.

I hear the economy is frozen. Banks won't lend. No mortgages.
Hoarding
their bailout money.

Yet, virtually every commercial break on MSNBC or CNN features at least
one
pitch from a major bank or a mortgage company (Ditech comes to mind,
which
is a GMAC subsidiary) offering low interests mortgages, loans and "we
have
money to lend" announcements.

So, why aren't they lending? Seems to me that this would be an ideal
time
for people to re-finance for lower rates, etc.

Economics confuses me.

Eisboch



I applied for an LL Bean card over the internet last week. I filled out
the
application, hit the button, and was approved within about seven
seconds.
For $31,000! Hell, all I wanted was free shipping and monogramming.

Don't ask me what's going on. I think the liberals just want to bitch
about
banks and anything that's non-union. It'll all get fixed when Obama
takes
office.
--
John H.

Not really a good idea to open a lot of credit accounts for the sake of
free
shipping, etc. It can affect your FICO score negatively.


You get to a point in life where you don't really worry about your FICO
score. I'm there.

Anyone looking at the two credit cards I carry would never see a dime's
worth of interest paid to either company.

I've actually got a pretty good score, for a guy who was stupid enough to
get drafted.
--
John H.

I'm pretty much in the same position. I haven't had a loan payment in over
20 years (FICO now 800+) and hopefully won't need one again in this
lifetime. For those that will need credit, the extra baggage on the credit
report won't help.

"D.Duck" wrote in message
...


I'm pretty much in the same position. I haven't had a loan payment in
over 20 years (FICO now 800+) and hopefully won't need one again in this
lifetime. For those that will need credit, the extra baggage on the
credit report won't help.




The last credit report I read indicated that my score was not as high as it
could be because I didn't have a mortgage.

??????????

I am like you and JohnH now. Now that I don't need it, I have all kinds of
credit available and I don't use any of it.

But, I also remember that it took me 10 years to pay off a small balance on
a stupid Hechinger's credit card that I had back in the Navy. Every penny
counted for many years.

Eisboch

"Eisboch" wrote in message
...
Help me out here.

I hear the economy is frozen. Banks won't lend. No mortgages. Hoarding
their bailout money.

Yet, virtually every commercial break on MSNBC or CNN features at least
one pitch from a major bank or a mortgage company (Ditech comes to mind,
which is a GMAC subsidiary) offering low interests mortgages, loans and
"we have money to lend" announcements.

So, why aren't they lending? Seems to me that this would be an ideal
time for people to re-finance for lower rates, etc.

Economics confuses me.

Eisboch

They are looking for AAA credit. If I have a 300 score loan for $20,000, if
I can get a 900 score new loan for $20,000 I can say the average is 600 for
$40,000. Repackage and send the debt to the markets needing a minimum of
say 500.

Low end debt isn't moving. But say you own your own home and have cash, no
problem.

And they now have lots of cheap money to lend courtesty of future currency
devaluation. A smart person has to ask and evaluate the possible affects of
fiat money, inlfation and future interest rates. Plus the Fed might drop
interest rates to zero. Makes a nice spread if you pay 5% and the
government will bail them out.

wrote in message
...
On Fri, 5 Dec 2008 11:26:55 -0500, "Eisboch"
wrote:

Help me out here.

I hear the economy is frozen. Banks won't lend. No mortgages. Hoarding
their bailout money.

Yet, virtually every commercial break on MSNBC or CNN features at least
one
pitch from a major bank or a mortgage company (Ditech comes to mind, which
is a GMAC subsidiary) offering low interests mortgages, loans and "we
have
money to lend" announcements.

So, why aren't they lending? Seems to me that this would be an ideal
time
for people to re-finance for lower rates, etc.

Economics confuses me.

Eisboch


Basically they are only lending to people who can guarantee to pay
them back these days. That eliminates most of the businesses or
homeowners in upside down mortgages and an unsecure job.
The thing that is missing is people who will loan money for a dream.



Sounds pretty much like how it was back in 1983 which was the last time I
applied for and received a mortgage.

As for businesses, banks have never been a good financing source, other
than for a basic, limited credit line, backed by tangible collateral. In
the case of small business, the collateral often consists of the equity in
the business owner's personal house. I saw people's houses auctioned off
and vowed to my wife that I'd never go there.

The business I had grew to a $20M+/year operation and I never had a bank
loan or line of credit. When I sold it, the buyer's financial people
(large, public company) who were doing the due diligence raised some flags
and temporarily held up the process. They simply didn't believe that we had
no debt.

There are much better ways to finance a dream.

Eisboch