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  1. #1
    ABW Founder Haiko de Poel, Jr.'s Avatar
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    Short and simple story of the credit crisis
    Continued Success,

    Haiko
    The secret of success is constancy of purpose ~ Disraeli

  2. #2
    ABW Veteran Mr. Sal's Avatar
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    Short and simple!
    Good video illustration!

  3. #3
    Yup, Sure ... now let me check ... Cagles Mill's Avatar
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    Short and simple, but not very accurate either.

    Causes include banks lending to people that never should have received mortgages (mentioned in the video), the use of adjustable rate mortgages (not mentioned in the video) and mark-to-market rules (also not mentioned in the video).

    You will remember all of the news when the problems first began to develop about how people were beginning to lose their homes because rising interest rates were causing their mortgage payments to rise to more than they could pay (due to ARMs). This led to housing prices falling, which in turn led to the mark-to-market rule kicking in and creating a full-blown credit crisis. Interestingly, the mark-to-market rule was one of the government answers to the Enron fiasco. It is also worth noting that last week the FASB loosened the mark-to-market rule under pressure from politicians.

    Understanding How Mark to Market Rules are Fueling the Credit Crisis
    Rick M.
    I would rather have a bottle in front of me, than have a frontal lobotomy!
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  4. #4
    Life is Supposed to be Fun! Rexanne's Avatar
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    Quote Originally Posted by Cagles Mill
    Causes include banks lending to people that never should have received mortgages (mentioned in the video), the use of adjustable rate mortgages (not mentioned in the video) and mark-to-market rules (also not mentioned in the video).

    You will remember all of the news when the problems first began to develop about how people were beginning to lose their homes because rising interest rates were causing their mortgage payments to rise to more than they could pay (due to ARMs). This led to housing prices falling, which in turn led to the mark-to-market rule kicking in and creating a full-blown credit crisis. Interestingly, the mark-to-market rule was one of the government answers to the Enron fiasco. It is also worth noting that last week the FASB loosened the mark-to-market rule under pressure from politicians.

    Understanding How Mark to Market Rules are Fueling the Credit Crisis
    Interesting - had to read the story - the video was freezing. Thanks for posting CM!
    Peace,

    Rexanne

    Rexanne.com
    Loving Everyone's Child Creates Magic


  5. #5
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    now that's what I call link bait! put a link or a banner to a credit card site and there you have instant traffic and rankings!

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