It was announced this morning that the TBTF banks reached a deal with the attorney generals for 49 states on a global settlement that resolves all the terrible things you have hear about the banks and their mortgage servicing,
most of which is true.
Although the outline of the settlement has been released, the devil is in the details. Once more about the settlement becomes available, detailed information on how homeowners were screwed over by the settlement will be posted.
Just knowing the players, we already know the winners and losers.
Winners
- The President Show, who will tell us every day between now and November 6 how he personally has helped every single homeowner in trouble in the entire United States by personally arm twisting all 49 attorneys general to do this deal for the betterment of the country.
- 49 attorneys general (everybody but Oklahoma) who signed off on this, and therefore will tell us every day between now and November 6 how each of them has personally helped every single homeowner in trouble in their respective states by signing off on this.
- The TBTF banks, who would not have signed off on this without (a) having somebody to pass the buck and liability off to already in line and already hosed; (b) will escape any organized attorney general type criminal and civil prosecution and (c) will now have the ability to run a pervasive and ongoing media campaign to tell us every day between now and November 6 how they personally helped every single homeowner in trouble in the entire United States.
Losers
- Anybody not in groups 1-3 above.
- The thousands of homeowners who lost their homes in this fiasco, who, if they do everything write, may receive $2000 for their time and trouble. Tried to get a loan modification? You have already seen the claims procedure to get this money in action. Just sayin’.
Isn’t it fun to be both right and cynical?
