Homeowners falling further behind in payments

More ominous news regarding consumers’ household balance sheets. Reports from three big banks show homeowners and credit card borrowers are falling behind on their payments, according to the Financial Times.  Record low mortgage rates aren’t helping.

23 comments Add your comment

Shantwana

October 18th, 2011
11:26 am

Who would want to be a money lender right now? When they try to collect what’s owed them they’re vilified, and their deadbeat borrowers are viewed as hapless victims.

Banks and credit card issuers who threw $ at high risk uncreditworthy borrowers were just plain stupid. And the people who took the money with no intention of repaying it are thieves.

Erica

October 18th, 2011
2:38 pm

@Shantwana: Sounds like no one in your home has lost their job or had their wages or hours substantially reduced.Good for you. Hope your utopic existence continues. For the rest of us who aren’t so fortunate, job lossess and paycuts happen. Jobs aren’t plentiful in the metropolitan area and for those who are fortunate to find new employment, chances are it is at a much lower salary. So, until the job market begins creating new opportunities and putting folks back to work at decent wages, you will continue to see mortgage and credit defaults climb. For those who had “rainy day” funds, no one anticipates being unemployed/underemployed for years at a time. So, when months of unemployement/underemployemployment turn into a year plus, who realistically can survive financially at that rate, other than the wealthy….

Steve

October 18th, 2011
9:09 pm

Just Foreclose on these people. Not one person would work for a year with no pay but people expect Banks to go for over a year without getting their mortgage payments.

File Bankruptcy and clear your debts and start over.

Mike

October 18th, 2011
9:30 pm

The rules were changed during the last administration, making it more difficult for people to file for bankruptcy. There is no ’starting over’ anymore.

Ten bucks Shantwana and Moesha are a bitter old white dude, probably the same one, even.

Karma

October 18th, 2011
9:34 pm

The giant monster mega banks need to expose the government for all the damage they have done. The feds told banks to loan money to people to so they could buy homes, they told them they had to take bailout money, and now the banks are forced to help these homeowners when they have no intent of repaying their debt. Yet again, the banks are the bad guys because the feds told the banks they could no longer charge merchants for debit transactions, so the bank is passing this onto the customer because they are tired of LOOSING MONEY. Nothing in life is FREE people!

Most Americans are tired of the excuses on why people don’t pay their bills.

Obama

October 18th, 2011
10:10 pm

White / Black / Rich / Poor. Yall crack me up.

Bet every one of you have a cell phone, caller ID, and a nice cable package that you don’t ‘need’. I know someone going thru BK and has satellite radio in his car. God is recalibrating Americans. 4 million 4GS iPhones in the first three days ???

Try 6-9 million dead jews, 100’s of thousand American soldiers not returning from Europe and bread lines. Get a grip, hang up while driving, pick up the liter in your neighborhood and tuck your kids in to bed for a change. No perspective.

vuduchld

October 18th, 2011
10:17 pm

It’s clearly evident by the comments on here that you Jawja pilgrims are whacked out on too much meth.

Joke

October 18th, 2011
10:21 pm

BK is a joke in GA….even when fraud is present the northern district isn’t interested in I fraud charges unless it’s a Housewives of ATL that can bring the headlines I know of a case where the fraud was reported which included canceled bank checks, hidden corporations and a purchase of a NEW million dollar home when the wife’s income was reported as a part timer making $1000 bucks a month!!!(the house was purchased in the wife’s name the same time the income was reported)…the financial system in this country is a joke that can be gamed by the most skilled!!!…

Ga Resident

October 18th, 2011
10:34 pm

Bill Clinton was the one who initiated the plan for everyone to own their own home/condo/whatever. Don’t forget that, America.

Knog

October 18th, 2011
11:37 pm

Living in Obamaville is not fun. We are going to let our home default after Christmas. I just want to thank everyone for supporting Barak Obama for President. Obama has come to be the most devisive President in American history.

OMG

October 19th, 2011
12:04 am

@Knog: Really , that who you blame, you need help… seriously

Z

October 19th, 2011
12:09 am

Good Grief, Who’s at fault. The Father of the Housing mess Phil Graham of Texas, a Republican, wrote the bill. Leave it to a Republican to figure out another way to take from the people. Yes, Bill Clinton signed this bill to remove Glass Steigill. The bill was brought before congress in December 1999 just before Xmas, when they bring all the bills they want to sneak through. December is always the month they bring bills before congress that they think might have a hard time getting passed, when know no one is paying attention because they are busy with Xmas and the holidays. Politicians especially want to get the heck out of Dodge city as fast as they can. Clinton has said he regrets signing that bill.

OK the bill was signed but there was nothing in that bill that said any bank or lending institution absolutely without restrictions had to lend to people that they knew would not be a good risk. They lent money to those people because they knew the Government would have to pay them back if the borrowers defaulted, that is you and I by the way. All the while those poor little ole me banks were getting fees upon fees for writing those loans, along with everyone else, you know, people like Real Estate agents, lawyers, developers, everyone having a connection with that loan got paid..it was like having a money tree growing in their own parking lot..and then Wall Street got in the action and we know what happened there don’t we. Corruption run amuck!

Just this week I heard those poor little ole banks are going to give out huge bonuses AGAIN. How disgusting is that. And another thing, if people would pay attention and read once in while you would seen quite a few of these banks in Georgia closing down because of corruption within. Feel sorry for banks, NOT HARDLY!

javone

October 19th, 2011
1:48 am

the government needs to bail out lower income people with big credit card debt and mortgages like they did big banks. I’m tired of paying my credit card bill every month and rich people get bail outs.

NigNog

October 19th, 2011
4:32 am

Now lookie hear….the issues coulda been avoided if y’all picked yo own damn cotton. We got a boy in da house an its our time now! gimmie gimmie gimmie dat public assistance, AC copper coils and stolen appliances! ha ha ha

whatever it takes

October 19th, 2011
4:42 am

The problem America has is that we lost our attitude to do what it takes to support our families. We all want to blame somebody else for what’s happening in our lives. Yes there are people who can’t find work…Yes people are losing their homes. My son found 2 full time(15.00 and 12.73 and hour) jobs he is 19 and in college. He has no work experience! if you have to work 3 jobs to pay your bills , then do so. The problem is people are not willing to do so.

We blame the world now but when things were good we wasted money and saved nothing. We ate out 3 times a week, we had to have the latest technology, we needed a new car every other year. I feel sad for those who are struggling , and especially for those who lost their homes…until you look at yourself in the mirror and blame yourself you can’t blame the world. Until we have the attitude of doing what it takes we will continue to fall financially as a Country.

willieruiz

October 19th, 2011
5:18 am

123 Refi reported that the Fixed mortgage rates are at their lowest level in six decades for the second straight week. That’s a great opportunity for those looking to buy or refinance a home.

Obama Supporter

October 19th, 2011
5:58 am

The stimulus is working!

RON PAUL 2012

October 19th, 2011
8:15 am

George W. Bush brought this country to ruin
and Obama and Congress is finishing the job.

RON PAUL 2012

October 19th, 2011
8:16 am

are finishing the job.

YouDecide

October 19th, 2011
7:57 pm

Losing your home is one of the most devastating life events. Do you seriously think that people simply don’t pay their mortgages? While there may be a few ignorant, non caring fools that may put their families on the risk, most people in foreclosure are hard working, honest Americans who had a stroke of bad luck in one of the worst economic times in 40 years. You are kidding yourself if you think the banks have no role in this.

aleah

October 20th, 2011
12:15 pm

Bill Clinton started it with trying to make the American dream possible for everyone. Bush sure didn’t help, and Obama is really screwing us with his out of control spending. Bank were forced to give out loans to low income and *minorities*. What I do not understand is why they don’t try to keep their house. There are plenty of ways. 3 years ago I got in a horrible situation and found a roommate for a year and during Christmas I work a retail job and used the money though out the year. There is always a way to keep a house and foreclosure should be very last. Someone is always looking for a room to rent, that is 400 plus dollar towards a mortgage, but instead people keep buying junk and more junk. New clothes, 4G iphones, cds, movies, and so on. Why do people think they are too good for a 2nd part time job anymore. Also if it is so bad why did GA alone lose 400 million of crops due to not having enough workers. Are you too good to pick crops for a season or two?

Educated

October 21st, 2011
2:13 pm

For all of you out there who think the banks are suffering, have a read… Monday, October 17, 2011
WELLS FARGO REPORTS RECORD QUARTERLY NET INCOME OF $4.1 BILLION
• Solid financial results:
Record Wells Fargo net income of $4.1 billion, up 21 percent from prior year, up 3 percent from prior quarter

CHARLOTTE, N.C., Oct 18, 2011 (BUSINESS WIRE) —

Bank of America Corporation today reported net income of $6.2 billion

THE BANKS ARE NOT SUFFERING!

Educated

October 21st, 2011
2:17 pm

@Aleah, I love how all of you anti-Obama people are suddenly so concerned about spending. Why wasn’t it an issue during past administrations?