[sunmars]

Here we go again...ridiculous.

[Theoria]

A ‘free-market’ would have put BoA out of their misery long ago.

[Revel]

The big bankers are in Rico with the US government. One big criminal enterprise.

[LomanBill]

       

"We didn't truly know the dangers of the market, because it was a dark market," says Brooksley Born, the head of an obscure federal regulatory agency -- the Commodity Futures Trading Commission [CFTC] -- who not only warned of the potential for economic meltdown in the late 1990s, but also tried to convince the country's key economic powerbrokers to take actions that could have helped avert the crisis. "They were totally opposed to it," Born says. "That puzzled me. What was it that was in this market that had to be hidden?"

http://www.pbs.org/wgbh/pages/frontline/warning/view/

[Jack Hammer]

Sorry, B of A, congress dictated your mortgage loan practices, and then, when you lost millions following them, sneered at you.

But, hey, at least our Fearless Leaders stuck the American taxpayer with the bill for all those defaults.

[jimnm]

I wonder if the feds will do racial impact studies and subsequent lawsuits like they do for other banks and mortgage lender.

Nope, since the writedowns will disproportionately go to Obama voters.

[raybbr]

Anyone know if the reduction in principal will be taxed as income?

[JTHomes]

However, the debts are bad debts, they either need to be written down, defaulted on, or paid down (unlikely and will take 10-20 more years). I don’t like the back room deals that led to this that we won’t know anything about who got paid off and how at tax payer expense. There isn’t any easy way out of the mess that the government, banks and mortgage markets have left us with.