When one chairman asked this question: what happens when “it hits” * the answers were very evasive. (agreeing
with PS)
Paraphrasing:
“The numbers are low right now…but they might be higher
later”
The Chair persons asked tough questions of the regulators but let them off pretty easily.
*ARMs reset en masse and people are upside down.
Sarbanes asked about the sustainability of the whole process and accountability (bank makes loan and sells it off)as well as validating the borrowers ability to handle the loan: Answers were – “we concur, the new guidelines will fix everything. No real problems here”.
You know, based upon the senate hearing, I think we’re okay. We should ask Rich to shut down the site and do something more productive with his time. ;- )
