[quote=peterb]I cant believe this is even a discussion topic. It’s business, get over it. Be glad it’s non-recourse.[/quote]
Just when it’s dying down, someone raises the red flag!
There are several reasons why it’s a discussion topic.
1. Lenders didn’t choose to make these loans non-recourse. California lawmakers made that choice. That makes us all (indirectly) responsible for the loan forgiveness.
2. Most of the losses caused by a failure to repay loans against homes are borne by taxpayers. Most of the rest will be borne by net savers as low interest rates now and future inflation depress their net worth. A considerable amount will also be borne by pensioners and others whose income relies on investments that pay good interest, and are repaid in full.
3. “Be glad”. I’d be glad only if I thought that taking money from one person, without their agreement, and giving it to another was OK.
4. Not everyone subscribes to the “if it’s legal, it’s OK” theory of social behavior. I wouldn’t want to do business with that kind of person.
