You use wikipedia to explain debt refinance schemes! Exactly what is your speciality.
I understand how it works, you idiot, I write lawsuits against the banks! I used wiki as it is easy enough for everyone to understand, even those who pretend to have experience in this arena but don't.
Tell me, have you possibly read about their various accounting controversies?!
I know all about the accounting "controversies", and the "robo-signing" and the lunacy that is MERS and the "pools" that have NOTHING in them, and the paying of so called rating agencies to give cesspoools of "mortgage backed" securities triple A ratings when even an "F" rating (if there were such a thing) would have been a upgrade to what these mortgage pools really were. What's your fucking point?
By the way, FMs? What the hell are you calling FMs? Fannie and Freddie?
If by FM's you're referring to Fannie and Freddie... Duh. But it's not their "own mortgages" as they have no mortgages of their own! It's "pass through" securities, they acted as middlemen. Scummy middlemen, yes, but it nothing of their "own".Do you know that FMs sell securities?
This shit got traded by EVERYONE involved in mortgages in a major way.
Duh.
I don't think you fucking understand. Fannie and Freddie are NOT privately owned and the lawsuit filed by FHFA concerns THEM and ONLY THEM.The FMs are privately owned.
You claimed that "their own loans" were in the MBS Fannie and Freddie sold... but it's not "their own loans" its somebody elses' that they "owned"WTF does actually making the initial loan have to do with it!
FFS don't comment on other's expertise - this is pretty solid territory for me.
I'd hate to see what shaky territory was if that's the case.
If you used a source other than WIKI - like um, their accounts, you'd gain a useful frickin insight.
To help the financially challenged - read this:
Fannie Mae packages mortgages into mortgage-backed securities, which they then resell to investors.
Mortgage-backed Securities - Definition of Mortgage-backed Securities and How Mortgage-backed Securities Affect the Economy
Oh, so "About.com" is a more valid source than Wiki.... riiiight!
Is that simple enough? It really should be. They sold off their own bundled up shit, some of which which got rebundled & sent back!
Clearly you cannot read. From your own link: "Mortgage-backed securities are a bundle of mortgages that have been sold by banks to Fannie Mae, who then repackages them and sells them to individual investors." The pools, once sold to individual investors, did not get pooled again and sold back to Fannie and Freddie. That simply did NOT happen. RBS is in trouble or selling shit loans THEY MADE to Fannie and Freddie.
go & get a decade's worth of international investments, banking, hedge funds & insurance under your belt
I doubt you have ten minutes worth of that experience. Anyone who had would know how these crappy securitizations ACTUALLY worked.
On this we can agree.No one cheated anyone in this - each of the multiple counterparties just saw dollar signs & repeatedly passed the parcel, just adding another layer to it.