[quote=walterwhite]i think it would make more sense just to refi all the stupid 19% credit card debt down to 2%[/quote]

Out of the clear blue sky with no urging from me Capital One just dropped my rate by 1.25%.

I’d have to go look to see what it was but I thought it was interesting anyway. It’s one of those zero benefit to me things, since I always pay it off at the end of the month anyhow.

In this thread I’ve seen no discussion around the possibility that all these “re-financiers” get dropped to a 4% loan, and then instead of spending the money on mass consumption (stimulating) they instead keep paying the same payment and pay down/off their mortgage ASAP?

Yes, yes, I get the ‘can’t change human nature to spend see sdr new car’ bit, but maybe being that close to the edge for so long changed a majority of them into wanting out of the whole debt trap thing and actually owning the house. If they are so far underwater and simply want out, then they should have strategic defaulted a long time ago.

Assuming this is worked out and placed into production, I’m thinking it might not have the effect they are looking for.