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BofA Takes Out Lows As Sheila Bair Says Servicers' Issues Could Be "Very Damaging", "More Problems" To Arise In Mortgage Servicing

Tyler Durden's picture





 

Finally the FDIC acknowledges the shitshow:

  • BAIR: LITIGATION FROM SERVICER ISSUES COULD BE `VERY DAMAGING'
  • BAIR SAYS FORECLOSURE PROBLEMS WILL REQUIRE `GLOBAL SOLUTION'
  • BAIR: CRISIS REQUIRES `DECISIVE' ACTION FOR MORTGAGE SYSTEM
  • BAIR: FDIC SECURITIZATION RULES `CONSISTENT' WITH DODD-FRANK

And the kicker:

  • BAIR SAYS CRISIS REVEALED `CRITICAL FLAWS' IN MORTGAGE FINANCE

Oh, so there are flaws??? As a result, Bank of America takes out 10/20 lows

And Bair continues being on a roll:

  • BAIR SAYS GOVERNMENT SUPPORT MUST BE EXPLICIT IF OFFERED
  • BAIR SAYS `MORE PROBLEMS' WILL ARISE IN MORTGAGE SERVICING

 

 


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Mon, 10/25/2010 - 12:29 | Link to Comment SheepDog-One
SheepDog-One's picture

'Crisis'? What crisis...Erin Burnett just hours ago assured all this was just a tiny little paperwork error...now its a CRISIS huh? Dang, and GS just recently said 'bottom is in' on BofA didnt they? Oh well, I guess its really true, bottom picking is for chimpanzees.

Mon, 10/25/2010 - 12:38 | Link to Comment Financial_Guard...
Financial_Guardian_Angel's picture

Disinformation is the business du jour.

BofA may be the sacrificial lamb, offered up to the masses in hopes that such a "crisis" may lead to sweeping congressional legislation that will be prefaced with words such as "in the interest of national security..."

This is going to create havoc after Nov 2. I'm going long on Mars treasuries. They may not exist, but they're safer than anything from this planet!

Mon, 10/25/2010 - 12:57 | Link to Comment MarketTruth
MarketTruth's picture

No worries, when it gets serious about the HUGE fraud of MERS, Obama will come on TV and change the laws and make them retroactive. He did the same thing to Chrysler/GMAC debt holders before their collapse/restructuring.

Mon, 10/25/2010 - 13:20 | Link to Comment Oh regional Indian
Oh regional Indian's picture

MT, while reading your comment, I read retroactively as radioactively.

Somehow, in retrospect, it seems to be the more appropriate word, eh?

Radioactive laws, with long half lives, that no one will touch with a bargepole (Cap and Trade/Health Care Reform/Homeland Security to name a few).

ORI

http://aadivaahan.wordpress.com

 

 

Mon, 10/25/2010 - 13:32 | Link to Comment JLee2027
JLee2027's picture

Obama has no power to change state property laws. His "decrees" there would be ignored.

Mon, 10/25/2010 - 13:56 | Link to Comment MsCreant
MsCreant's picture

Just like Chrysler/GMAC debt holders ignored him?

Tue, 10/26/2010 - 00:21 | Link to Comment JLee2027
JLee2027's picture

What state governments and state laws were affected by that?

Mon, 10/25/2010 - 14:36 | Link to Comment MarketTruth
MarketTruth's picture

Oh Regionaln and JL, while on the face of things i 100% agree with you, yet back door deals and typical political pressure can do wonders. Agree it is fraud, fraud and more fraud, but the bansters are Too Big To Jail or Fail.

Mon, 10/25/2010 - 12:43 | Link to Comment Sleepy Weasal
Sleepy Weasal's picture

Welcome to the Recovery!

Mon, 10/25/2010 - 13:04 | Link to Comment Mako
Mako's picture

Said loan servicer lacks "standing" to foreclose... it's not a little paperwork problem, it's a unable to fix problem if the deadbeat homeowner finds out the Truth.

`GLOBAL SOLUTION'

What "global solution" is she talking about?  There is no "global solution" to a plaintiff that lacks "standing" to foreclose.

 

Mon, 10/25/2010 - 13:33 | Link to Comment JLee2027
JLee2027's picture

I had the same question. A global reset of all debts worldwide?

Mon, 10/25/2010 - 13:37 | Link to Comment Mako
Mako's picture

Well, the system will reset or collapse anyway.  Nobody can stop that from happening.

Mon, 10/25/2010 - 22:51 | Link to Comment i-dog
i-dog's picture

"BAIR SAYS FORECLOSURE PROBLEMS WILL REQUIRE `GLOBAL SOLUTION'"

You really have to laugh at how the functionaries in the DC Politburo keep trotting out this oligarchic mantra for a "global solution" at every turn!

They can't even manage the simple job of defending "life, liberty and the pursuit of happiness" for 50 fledgeling states with a common language, history and culture ... yet they have the hubris to suggest that a single central committee can solve every problem for 7 billion people world-wide! FFS!

Mon, 10/25/2010 - 13:54 | Link to Comment whatsinaname
whatsinaname's picture

Global solution - global banks get to collect al the crap that BofA throws to them.

Mon, 10/25/2010 - 13:12 | Link to Comment Ripped Chunk
Ripped Chunk's picture

Erin's brain is a tiny little paperwork error.

Mon, 10/25/2010 - 12:31 | Link to Comment Spalding_Smailes
Spalding_Smailes's picture

Green Shoots ~

Green shoots is a term used colloquially and propagandistically to indicate signs of economic recovery during an economic downturn.

 

Mon, 10/25/2010 - 12:46 | Link to Comment flacon
flacon's picture

Green Shoots are only possible in the demented world of faux-economics Keynesianism. 

Mon, 10/25/2010 - 12:35 | Link to Comment John McCloy
John McCloy's picture

BAIR: Already Devastated and Poverty Stricken Taxpayers in FoodStampistan Will be Notified Shortly of How Much More This Will Cost Them.

Mon, 10/25/2010 - 12:40 | Link to Comment Max Hunter
Max Hunter's picture

"FoodStampistan".. How funny.. Thanks for that!

Mon, 10/25/2010 - 12:42 | Link to Comment John McCloy
John McCloy's picture

I stole it from someone else on here on ZH this morning. I cannot remember who but we now have a new vocab word in the ZH Canon.

Mon, 10/25/2010 - 13:12 | Link to Comment Ripped Chunk
Ripped Chunk's picture

A suburb of Assfuckistan. Here it comes taxpayers!!!!!!!!!!

Mon, 10/25/2010 - 13:25 | Link to Comment bugs_
bugs_'s picture

Foodstampistan!!

Mon, 10/25/2010 - 15:25 | Link to Comment Panafrican Funk...
Panafrican Funktron Robot's picture

Capital city:  99erville.

Mon, 10/25/2010 - 12:30 | Link to Comment TraderTimm
TraderTimm's picture

Wonder when the algos will nail it to a wall. Oh irony! The cynical part of me thinks that this will get somehow legislated/swept under the rug though. Nobody has paid the price for their crimes, why start now? This system makes me sick to my stomach.

Mon, 10/25/2010 - 12:42 | Link to Comment minus dog
minus dog's picture

Eh.  I don't really give a shit anymore as long as I got my pile of stuff ready for whatever might come tomorrow.  Not much else I can do.

Mon, 10/25/2010 - 13:17 | Link to Comment MsCreant
MsCreant's picture

You get your stuff ready. TSHTF full chunk mode. You and yours survive. What then? Without justice, without the rule of law, there is no normal that works. Instability to infinity will be the new normal. We need to try for justice now or there can't be anything after TSHTF. We may have become disillusioned, but that does not mean we should give up on the concept and practice of honesty and fairness.

I like that constitution thingie pretty well...

Mon, 10/25/2010 - 13:43 | Link to Comment downrodeo
downrodeo's picture

Alas it would seem that the constitution doesn't apply. I am with you that we have to have some sort of legal code or ethical mores that we all follow. The problems is that the enforcers are on the take. In my opinion, this is why things are breaking down. The law no longer applies, at least not to the 'leader class' (or their minions). For instance, an associate of mine is always telling me how there are enough laws on the books to arrest every single individual who has committed a crime against the American people. It just doesn't happen though. Do we need to apply more pressure to the local DA or something? Would they listen?

Anyway, I'm all for the return to the rule of law, but I just can't see how we get there.

Mon, 10/25/2010 - 13:59 | Link to Comment MsCreant
MsCreant's picture

The workers need to take over the means of production, in this case, the justice system. 

Mon, 10/25/2010 - 14:04 | Link to Comment kaiserhoff
kaiserhoff's picture

Ms, Ms, Ms,  If you keep talking like that, Baldy Ben is so "not going to the prom with you."

Actually something you wrote a couple of weeks back really hit me.  "Family doing well, extended family a little less so", but nothing ever sinks quite to average in Lake Woebegon, does it?  Still, how secure can anyone be, when the center cannot hold?

I think the pace of change is accelerating.  The bastards are fighting on all fronts.

It is frustrating as hell, but I wouldn't want to be the dude trying to hold all of this together with band aids and chewing gum.

Not sure any of that makes sense.  Just hang in there, kid, we need ya!

Mon, 10/25/2010 - 14:07 | Link to Comment MsCreant
MsCreant's picture

Wow, stood up by Ben for the prom. Where to start...:-)

I guess we should all be careful what we ask for. When you let the house go, the cleaning gets backed up, and often you find ugly surprises, hidden from daily view. Let it go far enough, you may have to gut the place to get it back up to standards.

We are the center kaiserhoff. Each one of us, locally, is the center. When we are in sync with each other, when we trust each other, it feels damn good. We don't need so much stuff to feel okay because we are not empty. 

I wouldn't want to be Ben either. That would be a damn cold existence.

You take care too!

Mon, 10/25/2010 - 14:32 | Link to Comment kaiserhoff
kaiserhoff's picture

Well said.  If there is a single, underlying problem in this country it just might be expectations.

Mon, 10/25/2010 - 12:49 | Link to Comment chet
chet's picture

Yep.  The banks will be bailed out again, and a bunch of underwater homeowners will have a bunch of their loan principal "disappear" whether they deserve it or not.

This will cost us another trillion dollars and all other homeowners will see their values drop anther 30%.

Anything to avoid responsibility and the rule of law.

 

Mon, 10/25/2010 - 12:30 | Link to Comment Clint Liquor
Clint Liquor's picture
  • BAIR SAYS FORECLOSURE PROBLEMS WILL REQUIRE `GLOBAL SOLUTION'
  • Now that's a scary thought!

    Mon, 10/25/2010 - 12:33 | Link to Comment SheepDog-One
    SheepDog-One's picture

    YES ClintLicker that IS the real pull-quote! 'Global solution', sounds so creepily similar to 'final solution' doesnt it...1 world global currency, 1 world global govt...the 'all is well' crowd keeps forgetting that little reality that keeps poppin its head up.

    Mon, 10/25/2010 - 12:42 | Link to Comment hedgeless_horseman
    hedgeless_horseman's picture

    Her use of the term global solution is a very, very, bad tell.  The banks are fucked, despite what the stress tests said.  Financial Crisis II will likely be at least two orders of magnitude worse than the first.

    Mon, 10/25/2010 - 12:45 | Link to Comment MeTarzanUjane
    MeTarzanUjane's picture

    To be realz, I think it means China is fucked as they are the majority investor in the American Home Dream.

    Mon, 10/25/2010 - 13:13 | Link to Comment Ripped Chunk
    Ripped Chunk's picture

    That's why they supplied all that great drywall...........

    Mon, 10/25/2010 - 14:12 | Link to Comment Confused
    Confused's picture

    Thanks. That made me laugh. Needed it. 

    Mon, 10/25/2010 - 12:47 | Link to Comment NotApplicable
    NotApplicable's picture

    Just in time for Basel III to save the day!

    All your banksters R belong to us.

    Mon, 10/25/2010 - 13:18 | Link to Comment MsCreant
    MsCreant's picture

    Cool. We could like, give China all our bankers... Gosh, wonder what they would do with them?

    Mon, 10/25/2010 - 12:49 | Link to Comment flacon
    flacon's picture

    We already have a one world currency. 

    Mon, 10/25/2010 - 13:20 | Link to Comment MsCreant
    MsCreant's picture

    Please don't hate me, it must be said:

    GOLD, BITCHES!

    Mon, 10/25/2010 - 13:22 | Link to Comment lynnybee
    lynnybee's picture

    no one hates you; no one hates on ZEROHEDGE.   I think most would agree with you !!

    Mon, 10/25/2010 - 13:40 | Link to Comment ATG
    ATG's picture

    At $922 200 week moving average

    We have a lot of debt default deflation between now and then

    Mon, 10/25/2010 - 13:32 | Link to Comment taraxias
    taraxias's picture

    Yup, we need those "global" investors to accept that what they bought were "empty box" MBS's and there's not a damn thing they can do about it................that's what she means.

    Mon, 10/25/2010 - 12:33 | Link to Comment John McCloy
    John McCloy's picture

    You got that right. Here comes this push for a Global Currency.  The MSM and entertainment industry better start lining up back to back seasons of Jersey Shore, The Kardashians, Americal Idol and extend the Football Season to 25 games if they are going to get this one past the Zombies. With inflation in foods costs the Snookites will certainly begin to take notice when their Big Macs resemble White Castle Sliders in a year.

    Mon, 10/25/2010 - 12:51 | Link to Comment jdrose1985
    jdrose1985's picture

    With inflation in foods costs the Snookites will certainly begin to take notice when their Big Macs resemble White Castle Sliders in a year.

     

    Pfft +1

    Mon, 10/25/2010 - 12:54 | Link to Comment flacon
    flacon's picture

    We already have a Global Currency. In fact we have been living in the New World Order since the 1930's. What we are about to see is the end of the Global Currency and the end of the NWO. 

     

    What does the reverse of the One Dollar bill say again? Who put those words on the dollar bill?

     

     

    Tue, 10/26/2010 - 00:00 | Link to Comment the rookie cynic
    the rookie cynic's picture

    Mr. Ferguson's recent speech intimated this same sentiment. The U.S. is loosing it's grip on the world:financially, culturally, and militarily. I didn't say lost its grip, but losing its grip.  Who can argue that the dollar and U.S. hegemony are not in decline? The only question is crash or crumble.

    http://therookiecynic.wordpress.com/2010/09/18/will-the-dollar-crash-or-...

    Mon, 10/25/2010 - 12:38 | Link to Comment system failure
    system failure's picture

    Once they choose the path of not telling the truth the shit just keeps getting deeper and they want to pile even more shit onto the taxpayer, who is already overloaded with even more shit from the last batch of lies.

    If they had told the truth to begin with, people (taxpayers) would have been more supportive, but now it is too late, and now we have a list of people with names on them for future reference.

    Mon, 10/25/2010 - 13:09 | Link to Comment MayIMommaDogFac...
    MayIMommaDogFace2theBananaPatch's picture

    Basil Fawlty is the king of lying himself into deeper and deeper predicaments.  I wanted to find a quote which covers that nicely but this one seemed sort of timely: 

    Sybil: I can't believe this!
    Basil: I don't, either. Maybe it's a dream. [pounds his head on the desk several times, sits up, looks around.] Nope, it's not a dream. We're stuck with it.
    Mon, 10/25/2010 - 12:43 | Link to Comment IBelieveInMagic
    IBelieveInMagic's picture

    I suspect the use of the word "Global" in this case refers to across the US financial system, not the 1 World currency issue that pisses off ZHers...

    Mon, 10/25/2010 - 13:22 | Link to Comment MsCreant
    MsCreant's picture

    Global lawsuits and Put Backs! China to US--> Cram it.

    Mon, 10/25/2010 - 13:26 | Link to Comment Oh regional Indian
    Oh regional Indian's picture

    Hey, I want to put it out there right now.

    India does not want to be a part of the global solution to america's mortgage problem.

    Thanks you very much.

    ORI

    http://aadivaahan.wordpress.com

    Mon, 10/25/2010 - 13:26 | Link to Comment bugs_
    bugs_'s picture

    "global solution" SCARY

    Mon, 10/25/2010 - 14:24 | Link to Comment Oh regional Indian
    Oh regional Indian's picture

    Actually the fact that she makes the stretch from the US to the Rest Of the World is scary. It tells me two things.

    1. All international central banks are in for a hard time. As a result, all banks are in for a hard time. Local Indian banks (thrifts actually) and the like will probably survive, but general FIRE fire in the house so to speak.

    2. WAR/False Flag coming

    ORI

    http://aadivaahan.wordpress.com 

    Mon, 10/25/2010 - 19:42 | Link to Comment tip e. canoe
    tip e. canoe's picture

    cue the coneheads!

    Mon, 10/25/2010 - 12:31 | Link to Comment Bob
    Bob's picture

    "Decisive Action" on "Global Solution" meaning whut??????

    Mon, 10/25/2010 - 12:38 | Link to Comment John McCloy
    John McCloy's picture

       Nothing to worry about the Bilderbergs just meet annually in secret to play chess and watch re-runs of Caddyshack.

    Pay no attention to the Soros donations

    Mon, 10/25/2010 - 12:49 | Link to Comment buzzsaw99
    buzzsaw99's picture

    mmm! bilderburgers r delicious!

    Mon, 10/25/2010 - 12:44 | Link to Comment Cookie
    Cookie's picture

    Meaning foreign banks holding MBS will have to take a hit this time, no AIG style bailout this time.....I hope and pray

    Mon, 10/25/2010 - 13:19 | Link to Comment apberusdisvet
    apberusdisvet's picture

    WRONG WRONG (although my wish is the same); you may not recall but there is a missing trillion or so from Tarp accounting, such as it is.  Foreign banks got a big kiss and bendover from Ben and Hank/Timmie; nothing will prevent more bailouts of everyone who has the slightest financial interest in the FED.  The last revolution was preceded by the dumping of a lot of tea in Boston Harbor.  The next could be preceded by massive willful disobedience of tax filings.  Starve the regime!!!!!

    Mon, 10/25/2010 - 13:24 | Link to Comment MsCreant
    MsCreant's picture

    Global lawsuits and Put Backs! 

    Mon, 10/25/2010 - 13:45 | Link to Comment Eally Ucked
    Eally Ucked's picture

    Exactly what she meant, if the they don't conform America will stop buying on credit and the whole thing (global economy) will go down the drain. I like that logic, the only hope for the world to recover is in Americans buying all that shit, they need it or not, why not India or other countries try to do it, they don't have money either and are as creditworthy as Americans.

    Tue, 10/26/2010 - 00:39 | Link to Comment i-dog
    i-dog's picture

    "America will stop buying on credit and the whole thing (global economy) will go down the drain"

    Sorry to blow your blackmail scheme out of the water ... but there are plenty of willing buyers around the world (at a price) for all the useless junk that America imports. It would only take a matter of months for the world economy to recover from a total freeze of US imports.

    Chinese factories, for example, are well-used to re-tooling in no time at all to switch production to new demands ... not only because they are flexible and entrepreneurial, but also because they don't have unions insisting that workers must be retained to continue producing shit that nobody wants to buy any more (eg. GM's SUVs).

    Tue, 10/26/2010 - 00:56 | Link to Comment JLee2027
    JLee2027's picture

    I can't agree as far as China. No one else buys their sheet like we do. They are going to take a huge tumble...far more than us. Demand will be down WORLD-WIDE because of the Depression, I think that's what your missing.

    Mon, 10/25/2010 - 12:33 | Link to Comment Spalding_Smailes
    Spalding_Smailes's picture

    I thought all this was under the rug ???? Gone ...?

    Mon, 10/25/2010 - 12:37 | Link to Comment SheepDog-One
    SheepDog-One's picture

    Hmmm yes it seems the rug keeps sliding off of the mountain of BS thats been swept under it!

    Mon, 10/25/2010 - 12:38 | Link to Comment Village Idiot
    Village Idiot's picture

    maybe the quote was "runner," not "rug."  probably blew out the other side.  pure speculation on my part.

    Mon, 10/25/2010 - 12:40 | Link to Comment SheepDog-One
    SheepDog-One's picture

    Yep, could very well be. But looking at everything thats been 'swept under the rug' just recently, the rug now looks like a postage stamp on an elephant!

    Mon, 10/25/2010 - 12:50 | Link to Comment treemagnet
    treemagnet's picture

    I think I'd go with "lumpy rug"

    Mon, 10/25/2010 - 13:10 | Link to Comment MayIMommaDogFac...
    MayIMommaDogFace2theBananaPatch's picture

    Lumpy Rugerford?

    Mon, 10/25/2010 - 13:47 | Link to Comment Mr Lennon Hendrix
    Mr Lennon Hendrix's picture

    Isn't that the alias Georgie Walker Bush signs into hotels with? 

    Mon, 10/25/2010 - 12:35 | Link to Comment ZakuKommander
    ZakuKommander's picture

    "Global Solution" translated: after returning from election recess, politicians will just have to get busy working hard on behalf of their financial community donors.

    Mon, 10/25/2010 - 12:36 | Link to Comment Waterfallsparkles
    Waterfallsparkles's picture

    Without Bloggers this would never have seen the light of day.  But, with the internet and e-mail it went viral.  They had to address it.

    How about Bernankies speech this morning.  This is a massive problem.  What happens when all of those homeowners find out that  their loan is not secured by their house.  A personal Bankruptcy could wipe out their Mortgage Debt and they get to keep the House Mortgage Free.

    The Law is on their side.

    Mon, 10/25/2010 - 12:36 | Link to Comment digalert
    digalert's picture

    Bair has shown her bare assets, repulsive.

    Mon, 10/25/2010 - 12:38 | Link to Comment SheepDog-One
    SheepDog-One's picture

    EWW Bair's bare assets, hideous and disgusting!!

    Mon, 10/25/2010 - 12:38 | Link to Comment Mitchman
    Mitchman's picture

    But that doesn't even begin to touch the securitization fraud side.

    Mon, 10/25/2010 - 12:41 | Link to Comment Bob
    Bob's picture

    That would seem to be the "critical" element that she alludes to. 

    She should be pushed to explicitly define this term, however.

    Mon, 10/25/2010 - 12:44 | Link to Comment A Man without Q...
    A Man without Qualities's picture

    BAIR SAYS CRISIS REVEALED `CRITICAL FLAWS' IN MORTGAGE FINANCE

    I think she may be alluding to it in this comment...

    Mon, 10/25/2010 - 12:41 | Link to Comment MarketFox
    MarketFox's picture

    Bair should know better...

    Prices go where they go....

    Any govt. induced price support will only end up being add on costs....

    Taking the big banks down is the same as eliminating US Fascism....

    Eliminating Fascism and having some heads roll for losing $Trillions versus getting record bonuses....would be a good thing....

     

     

    Mon, 10/25/2010 - 12:43 | Link to Comment plocequ1
    plocequ1's picture

    This is no longer tragic. Its fucking hilarious. Ill die laughing. Can someone please tell me when this whole thing blows up? In the mean time i will sit here and wait for death to knock on my front door while  using my Ipad and watching my Columbo DVD box set

    Mon, 10/25/2010 - 13:12 | Link to Comment MayIMommaDogFac...
    MayIMommaDogFace2theBananaPatch's picture

    Knock, knock.

    Who's there?

    Mon, 10/25/2010 - 13:41 | Link to Comment plocequ1
    plocequ1's picture

    Knock, knock.

    Who's there?

    Is that you Mr Death? Ill be right there. Let me finish watching this episode of Dancing with the Stars.

    Mon, 10/25/2010 - 12:39 | Link to Comment bob_dabolina
    bob_dabolina's picture
  • BAIR SAYS FORECLOSURE PROBLEMS WILL REQUIRE `GLOBAL SOLUTION'
  •  

    Time for the Tax payer to step up to the plate.

    Mon, 10/25/2010 - 12:41 | Link to Comment SheepDog-One
    SheepDog-One's picture

    Taxpayers from where will step up to the plate and pay...Schtupplande?

    Mon, 10/25/2010 - 12:41 | Link to Comment dot_bust
    dot_bust's picture

    Judging by the trend channel lines on Bank of America's chart, it will fail this week. The failure should make the Dow roll over quickly and force the Dollar up temporarily. Then the Fed will rush in and officially start QE II early. Cheers!

    Mon, 10/25/2010 - 12:43 | Link to Comment SheepDog-One
    SheepDog-One's picture

    Let them do whatever, Im locked and loaded and ready to fend off rioters. Although I dont believe this multi trillion Q/E for a minute...this will end up having been the biggest rope-a-dope scam in all of history when Bernanke dissapoints.

    Mon, 10/25/2010 - 12:48 | Link to Comment dot_bust
    dot_bust's picture

    I agree. Bernanke's QE II announcement will be fairly meaningless and could instead start a panic.

    Mon, 10/25/2010 - 12:57 | Link to Comment jdrose1985
    jdrose1985's picture

    Yep, mission accomplished. May 6th was just the practice run!

    Mon, 10/25/2010 - 12:57 | Link to Comment jdrose1985
    jdrose1985's picture

    Yep, mission accomplished. May 6th was just the practice run!

    Mon, 10/25/2010 - 12:42 | Link to Comment gigeze787
    gigeze787's picture

    Typo?

    "More problems to ARISE..."

    Mon, 10/25/2010 - 13:33 | Link to Comment unum mountaineer
    unum mountaineer's picture

    I read that as A ruse....idk

    Mon, 10/25/2010 - 12:42 | Link to Comment bada boom
    bada boom's picture

    This is all a ploy.  Sheila and others have been aware of this issue for a long time.

    Time for the fed to save (scam) us.

    Mon, 10/25/2010 - 12:45 | Link to Comment SheepDog-One
    SheepDog-One's picture

    Kind of hard to 'scam' those who have long ago left the rigged casino forever.
    Or to put it another way- Tell the bankrupt unemployed family they now owe $100,000, when they dont have $1 in change...so whats that accomplish for anyone?

    Mon, 10/25/2010 - 13:09 | Link to Comment bada boom
    bada boom's picture

    Sheepdog, that is the scam.  The US Govt will most likely step in and resolve the underwater mortgages by borrowing more "money" from the fed.  The fed gets the interest.  Not much now, but wait.  Or, the fed comes in a purchases the homes / mbs's.  Holds and collects rent, until it reflates them off the balance sheets (via inflation).  My guess is that those owners are turned into renters.  How about a new govt aid plan to help pay rent.  Who knows exactly what the name will be, but its all about scamming the citizens in the name of helping them.

    Tue, 10/26/2010 - 01:04 | Link to Comment JLee2027
    JLee2027's picture

    The Fed cannot over-ride state laws (private property is state controlled) and run amok. Believe me when I say there would be an armed revolt first.

    Mon, 10/25/2010 - 12:42 | Link to Comment carbonmutant
    carbonmutant's picture

    This why God invented PUTs...

    Mon, 10/25/2010 - 13:15 | Link to Comment Spalding_Smailes
    Spalding_Smailes's picture

    Labor strikes in France, aimed to get the government to reverse plans for pension cuts and a higher national retirement age, may have cost the nation $200 million in lost business a day. “Beyond the costs, which are difficult to measure, it damages the attractiveness of France,” Finance Minister Christine Lagarde said in an interview on Europe1 radio. France is the No.1 tourist destination in the world, attracting more than 80 million visitors. Tourism is 6% of the nation’s GDP.

    The $200 million number may not sound like much by US standards, but France’s GDP is only about $2.6 trillion and its economy has been substantially weakened by the global recession.

    France seems to have become a canary in the coal mine of anti-austerity labor unrest in Europe. There have been strikes in Greece, but its austerity decisions are largely behind it. The French Senate has only just voted on the administration’s plans to cut government costs and the age at which people get retirement benefits.

    Read more: Strikes Against Austerity May Cost France Over $200 Million A Day - 24/7 Wall St. http://247wallst.com/2010/10/25/strikes-against-austerity-may-cost-france-over-200-million-a-day/#ixzz13Oof1VmQ

    Mon, 10/25/2010 - 20:54 | Link to Comment StychoKiller
    StychoKiller's picture

    “Beyond the costs, which are difficult to measure, it damages the attractiveness of France,”

    Something about piles of uncollected garbage in the streets is so... gauche!

    Mon, 10/25/2010 - 12:44 | Link to Comment sweet ebony diamond
    sweet ebony diamond's picture

    Can anybody tell me if she was saluted when she entered the press room?

    I need to know if there are any new Fascist requirements I must follow.

    Mon, 10/25/2010 - 12:44 | Link to Comment redpill
    redpill's picture

    "Global Solution" is of course a euphemism for taxpayer bailout.

    Mon, 10/25/2010 - 12:45 | Link to Comment treemagnet
    treemagnet's picture

    'global solution'  - I can only imagine what in hell that means.

    Mon, 10/25/2010 - 12:45 | Link to Comment redpill
    redpill's picture

    B.O.H.I.C.A. BABY!

    Mon, 10/25/2010 - 13:26 | Link to Comment MachoMan
    MachoMan's picture

    It means she's kicking at our congress critters' feet trying to get them to *cough* pass some "remedial" legislation *cough*.

    Taxpayers are done...  the people who really can afford to drag a substantial amount of the country by their coattails, can also just as easily leave and wait for the long dick of the IRS to fall impotent.

    Needless to say, policy vices abound...  every solution runs head first into another problem, potentially greater.  This is about like the FDIC expecting banks to be able to pony up premiums at the same time they're being suspended in mid air through accounting gimmickry and lackadaisical/corrupt regulators....  hey dumb shits, if we were healthy, you wouldn't need the money for funding...

    Mon, 10/25/2010 - 12:46 | Link to Comment system failure
    system failure's picture

    I will be happy to see the same response to the government propping up home prices for the last 3 years only to get whiped out in 3 months starting now. Just like Japan's FX market inventions getting whiped out instantaneously lately. Where is my popcorn, we have a horror flick getting ready to start.  

    Mon, 10/25/2010 - 12:48 | Link to Comment dbradsha
    dbradsha's picture

    Everyone seems fixated on

  • BAIR SAYS FORECLOSURE PROBLEMS WILL REQUIRE `GLOBAL SOLUTION'
  • but what about

  • BAIR SAYS GOVERNMENT SUPPORT MUST BE EXPLICIT IF OFFERED
  •  

    Whats that mean ? Market recovered from initial re-actions. As expected.

    Mon, 10/25/2010 - 12:50 | Link to Comment SheepDog-One
    SheepDog-One's picture

    Oh, the FED propped up the 70 P/E stocks again? Thats nice.

    Mon, 10/25/2010 - 13:32 | Link to Comment MsCreant
    MsCreant's picture

    BAIR SAYS GOVERNMENT SUPPORT MUST BE EXPLICIT IF OFFERED

    Ms. Bair has watched so much trannie porn that the word EXPLICIT has crept into his/her vocabulary.   

     

    Steven Tyler: Bair looks like a lady! 

    Mon, 10/25/2010 - 12:48 | Link to Comment SheepDog-One
    SheepDog-One's picture

    GLOBAL SOLUTION- Well just look at the UN IMF, World Bank, and G20 countries have been saying, 1 world govt, 1 world currency is their goal. Do people just force this stated endgame reality out of their minds although its the stated final solution because its too horrible for them to imagine? Well you better wake up and recognize, because its coming like lightning right NOW not years in the future.

    Mon, 10/25/2010 - 13:33 | Link to Comment MachoMan
    MachoMan's picture

    Between China and Germany, that isn't going to happen...  Copenhagen was a really big deal...  Effectively, this plan has fallen flat on its face.  There is no one/currency left for the dollar to pass the torch...  no IMF/carbon credit solution...  The only way it would work is through a subsequent fiat solution...  and that solution is in dire contrast to the problem at hand...  namely a lack of confidence in fiat currency.  The only question is how and when do we go to a commodity backed currency and who, as a matter of having the desired backing, gets to assume a leadership role and begin the scramble to create another fiat.

    It WAS their goal...  and still is under an ideal world...  but unfortunately (fortunately?) this world isn't so ideal.

    Mon, 10/25/2010 - 12:51 | Link to Comment gigeze787
    gigeze787's picture

    Meanwhile, six weeks late, CNBC's new trendy blog (populated by Wall Street loyal bloggers) finally today demonstrates a firm grasp on the blatantly obvious:

    How Foreclosure Mess Could Create a Downward Spiral

    http://www.cnbc.com/id/39829546

    Dennis Kneale would proudly extol these bloggers' brilliance...if he still had a job.

    Mon, 10/25/2010 - 12:52 | Link to Comment Mako
    Mako's picture

    Said loan servicer lacks "standing" to foreclose... it's not a little paperwork problem, it's a unable to fix problem if the deadbeat homeowner finds out the Truth.

    Mon, 10/25/2010 - 12:52 | Link to Comment Buttcathead
    Buttcathead's picture

    Ii aint pay'n for shit !  kiss my black ass bitch !

    Mon, 10/25/2010 - 13:34 | Link to Comment MsCreant
    MsCreant's picture

    Are you a trannie? Is it pretty? He/Shelia might.

    Mon, 10/25/2010 - 13:34 | Link to Comment unum mountaineer
    unum mountaineer's picture

    lolz

    Mon, 10/25/2010 - 12:52 | Link to Comment Bastiat
    Bastiat's picture

    I think "global" here means "general" as opposed to case by case.  No doubt the result will be "global" violation of taxpayers and holders of USDs to keep the banksters solvent.

    Mon, 10/25/2010 - 13:13 | Link to Comment TuesdayBen
    TuesdayBen's picture

    Well, from the realtiy-be-damned comfort of my padded leather chair here at Starbucks, I've a direct view of a BofA branch, and it appears to be business as usual, no lines out the door, rioting, etc.  But it is only Monday.

    Mon, 10/25/2010 - 12:54 | Link to Comment buzzsaw99
    buzzsaw99's picture

    Global solution = shit sammy.

    Mon, 10/25/2010 - 12:56 | Link to Comment SheepDog-One
    SheepDog-One's picture

    Its gonna be a BIG shit sammy and its going to be served up real soon!

    Mon, 10/25/2010 - 12:54 | Link to Comment the not so migh...
    the not so mighty maximiza's picture

    But the lady at B0fA gave me a lollipop today , she said everyhting is fine.

    Mon, 10/25/2010 - 13:03 | Link to Comment TheGreatPonzi
    TheGreatPonzi's picture

    Simple but funny.

    Mon, 10/25/2010 - 13:18 | Link to Comment MayIMommaDogFac...
    MayIMommaDogFace2theBananaPatch's picture

    Lady at BofA told me that I would have to keep a minimum of $35K on deposit in my business checking if I did not want to pay $7.50 for a bank check.

    Oh, AND she gave me a lollipop.  Awesome service they provide!

    Mon, 10/25/2010 - 13:35 | Link to Comment Spalding_Smailes
    Spalding_Smailes's picture

    BofA

    May 1st ~ $ 18.00 today $11.24

    Market Cap. today $112 Billion

    Mon, 10/25/2010 - 13:36 | Link to Comment MsCreant
    MsCreant's picture

    Suckerz everywhere!

    Mon, 10/25/2010 - 13:07 | Link to Comment TuesdayBen
    TuesdayBen's picture

    .

    Mon, 10/25/2010 - 12:58 | Link to Comment BennyBoy
    BennyBoy's picture

    Global Solution:

    1. FED buy MBS at par from US banks.

    Have banks recycle the cash into Treasury's.

    2. FED buy MBS at par from Foreign banks.

    Have banks recycle the cash into Treasury's.

     

    The RoboSigning is just a technical snafu.

    Conterfeit documents are local shennanigans.

    Congress is a wholly owned subsidiary of the Financials.

     

    What problem?

     

    Mon, 10/25/2010 - 13:02 | Link to Comment Matt SF
    Matt SF's picture

    The "Mortgage Mess" euphemism is officially DOA.

    Mon, 10/25/2010 - 13:02 | Link to Comment BennyBoy
    BennyBoy's picture

    Global Solution:

    1. FED buy MBS at par from US banks.

    Have banks recycle the cash into Treasury's.

    2. FED buy MBS at par from Foreign banks.

    Have banks recycle the cash into Treasury's.

     

    The RoboSigning is just a technical snafu.

    Conterfeit documents are local shennanigans.

    Congress is a wholly owned subsidiary of the Financials.

     

    What problem?

     

    Mon, 10/25/2010 - 15:53 | Link to Comment the rookie cynic
    the rookie cynic's picture

    "Give me your tired mortgage backed securities, your poor credit default swaps,
    Your huddled derivatives yearning to breathe free,
    The wretched refuse of your banking shores.
    Send these, the homeless, tempest-tossed to me,
    I lift my lamp beside Benny Bernanke's golden door!"

    Mon, 10/25/2010 - 13:03 | Link to Comment win
    win's picture

    Problems of servicers

    Raed this as Depositors Lose

    http://problembanklist.com/first-arizona-savings-arizona-fails-fdic-find...

    First Arizona Savings of Arizona Fails -
    FDIC Finds No Buyer and Depositors Lose $6 Million

    Mon, 10/25/2010 - 13:38 | Link to Comment MsCreant
    MsCreant's picture

    Oh Fuck, it's on like Donkey Kong. Holy shit! I don't think this has happened before in this crisis.

    Mon, 10/25/2010 - 17:24 | Link to Comment earnyermoney
    earnyermoney's picture

    I think you are correct although I remember a comment a couple of months ago on ZH that an "insider" had knowledge that the FDIC is running out of options on banks in Illinois.

    Mon, 10/25/2010 - 14:14 | Link to Comment Double.Eagle.Gold
    Double.Eagle.Gold's picture

    Mr O to AZ: F-U

     

    Guess Mr. O has the final word on who's FDIC deposits are covered. Maybe that immigration policy, protecting one's citizens, has consequences...

    Mon, 10/25/2010 - 13:04 | Link to Comment Paper CRUSHer
    Paper CRUSHer's picture

    Global Solution is Tarp 2, so lets just get over with it dammit.

    Mon, 10/25/2010 - 13:05 | Link to Comment Bob
    Bob's picture

    Sheila just got a clue this morning at the water cooler while chatting up one of her undergrad student interns who happened to surf by ZH this past weekend. 

    NEXT SHOCKING DEVELOPMENT: FBI DIRECTOR MUELLER LEARNS THAT EPIDEMIC FRAUD ON WALLSTREET MAY JUSTIFY INVESTIGATION AFTER READING FINAL EXAM PAPER OF COMMUNITY COLLEGE CRIMINAL JUSTICE INTERN. 

    Mon, 10/25/2010 - 13:05 | Link to Comment bigdad06
    bigdad06's picture

    This is a big shitshow! It's on like Donkey Kong! Check out the new video! http://www.youtube.com/watch?v=xVcQMeVwMSs

    Mon, 10/25/2010 - 13:05 | Link to Comment Spirit Of Truth
    Spirit Of Truth's picture

    Property law has always been an obstacle to thievery.  That's why the banksters bribed our lawmakers into connivance.  The 'invisible hand' started to hold the wrongdoers accountable in 2008, so Ben Bernanke and the cabal of bankster elites stepped in to try and print their way out of judgment.  The problem is, what they are printing are effective IOUs in the name of taxpayers who still elect their lawmakers.  Thus, the real problem for them now has become stopping a popular revolt at the ballot box that could result in being held to account.  Thus, one begins to understand why controlling the media is so important. Obama and the 'audacity of false hope' followed, and with the Tea Party came emergent popular recognition of the underlying fraud underway. If all attempts to stop accountability fail, what desperate measures will the banksters take next?  Well....they still control the levers of credit and economic well-being, so they might opt to punish We The People for our lack of "cooperation".

    http://video.google.com/videoplay?docid=6507136891691870450

    http://video.google.com/videoplay?docid=5232639329002339531

    http://video.google.com/videoplay?docid=-515319560256183936

    http://video.google.com/videoplay?docid=7757684583209015812

    Mon, 10/25/2010 - 13:06 | Link to Comment Yikes
    Yikes's picture

    On marketwatch headline: Bair: "Implicit Fannie guarantee must be ruled out".  Oh oh!  Wall Street just wet their pants.

    Mon, 10/25/2010 - 13:17 | Link to Comment Spalding_Smailes
    Spalding_Smailes's picture

    What about China ?

    Mon, 10/25/2010 - 13:22 | Link to Comment MayIMommaDogFac...
    MayIMommaDogFace2theBananaPatch's picture

    "Implicit Fannie guarantee must be ruled out"

    Help me here...I though this was a done-deal (at least nominally) last Christmas eve?

    Is Sheila trying to say "Fuhgetaboutthat"...IOW we don't REALLY intended to backstop to infinity+1?

    Mon, 10/25/2010 - 13:38 | Link to Comment MachoMan
    MachoMan's picture

    Didn't bawney make a similar blunder?  Seems like there are a few in the know here...

    Mon, 10/25/2010 - 13:24 | Link to Comment Bastiat
    Bastiat's picture

    Who's running the propaganda levers today, the Joker?

    Mon, 10/25/2010 - 13:08 | Link to Comment Something Wicke...
    Mon, 10/25/2010 - 13:16 | Link to Comment Ripped Chunk
    Ripped Chunk's picture

    Bair = complete FAIL

    Mon, 10/25/2010 - 13:17 | Link to Comment eatthebanksters
    eatthebanksters's picture

    She's the first honest bureaucrat...39

    Mon, 10/25/2010 - 13:17 | Link to Comment bugs_
    bugs_'s picture

    Shiela says "service me and BEE AYE CEE"!

    Mon, 10/25/2010 - 13:22 | Link to Comment OutLookingIn
    OutLookingIn's picture

    "Global Solution". Here is why -

    Fraudclosuregate mortgages were securitized, sliced, diced and spread around amongst OTC CDS that were MBS - purchased by the world. Italian municipalities, German pension funds, aunt Mary's teachers pension, Icelandic Banks, Tajikistan oil companies, Papua-New Guinea Native benevolent trust, etc. You name it - they own it. Only, where are the mortgage notes? Who owns the actual notes? Without the notes - no ownership in a court of law! No ownership = no foreclosure = no money honey!

    Houston. We have a problem! Bair finally discovers that "Oh shit!" moment.

    Mon, 10/25/2010 - 13:27 | Link to Comment Bastiat
    Bastiat's picture

    There's a global problem alright but what's the mechanism for a global solution?

    Mon, 10/25/2010 - 14:11 | Link to Comment Spalding_Smailes
    Spalding_Smailes's picture

    Benny and the Inkjets

    Do NOT follow this link or you will be banned from the site!