Most people have no idea how toxic these loans are.

Fortunes were made pushing them by people who didn’t understand them to borrowers who didn’t understand them.

The higher the margin a borrower was put into, the larger the commission the lender paid to the loan originator.

Compare this to a PAR rate loan, the lender doesn’t pay one penny in commission.

They tempted dishonest loan originators to overcharge the borrower and rewarded them with huge commissions.

Two of the largest neg am (POA) lenders have seen their stock price drop 80%-90% in the last 52 weeks. Another is headed that way.