If and that's BIG...

1. If the Chairman of the Federal Reserve, Ben Bernanke didn’t know,
2. If other dealers, counter parties didn’t know,
3. If investors sophisticated and not sophisticated didn’t know,
4. Borrowers are presumed to have known therefore their notes are valid contracts.

Yes that’s the insult to logic many mortgage borrowers, their lawyers, foreclosure attorneys and the courts believe or better said, are led to believe. That because a mortgage borrower; whether high school or college grad, English, Spanish or Mandarin speaking, signed their name to a loan to buy a house that they knew the secret that Wall St was keeping from them and many others including #1, #2 and #3 above.

The names were changed to protect the innocent - NOT
Wall St has been given a new name (remember the old TV show Dragnet “we changed the names to protect the innocent”?) is now SIFI (Systemically important financial institutions), formerly known as, like Prince, the “artists” formerly known as Too Big to Fail (depository) institutions including investment banks (formerly known as Consolidated Supervised Entities, circa the discontinued 2004 SEC CSE program) and Bank holding companies.

Why did and do many Americans still believe this?
Remember “Now a note from our sponsors” that quintessential introduction has vanished (been removed) from our airwaves and digital ink, it seems now like since forever. Belief, whether through manipulation of facts and or guilt, mortgage borrowers are being told and led again by the same financial media that waved the poms poms as they (the sponsors) paraded by with glorious, massive, free market, capitalism bonus checks in tow before 2008.

Wake up Americans…because it’s not your fault at all – it’s a 5 step program… (*unless you falsified your loan docs)
When mortgage borrowers wake up and realize the mistakes they made were:
1) not bad market timing or 2) taking on too large a debt burden or 3) thinking that their job was secure or 4) thinking that house prices had no where to go but further and further out of reach, but 5) that they were hoodwinked by TBTF banks’ trillions of hidden investments (which were the cause of the very large proprietary traders’ bonus checks) then that day will be big.

There’s a fine but bright line between the free market, capitalism champions and fraud.