Tax Implications of “Walking Away”?

[jonnycsd]

I think you are very “easy going” and carefree when it comes to speculating with other people’s money but you are very prudent when it come to saving yours.

The whole idea of a capitalist system is that people who make poor capital investment decisions with THIER money do not get to keep it – rather capital accures to others who make good decisions and flees those who make poor ones. The lenders who abdicated thier responsibilities and MISALLOCATED thier capital into BAD LOANS should loose it to people who can be better shepards.

Dotherightthing – it is not your responsibility that some idiot lender made the decisions they did with THIER money. You should act within the boundaries of the law to maximize your outcome. It is a business question, not a moral question. If you doubt that it is all about business, ask yourself how many days reprieve on foreclosure and eviction that any lender would give to people whith hardship if it was going to cost them money? NOT ONE DAY. They would (and DO!) boot the bewlidered elderly coupe onto the street. They would (and DO!) have the sherrif remove cyring children and pile the toys and clothes on the curb.

Ironman’s idealism has no bearing on the reality of this industry. It is ruthless and you should play savy hardball.

[bsrsharma]

there is nothing they can do

Have you told them that you can’t pay any more? That should at least draw their attention.

Can you tell who the lender is?

[bsrsharma]

there is nothing they can do

Have you told them that you can’t pay any more? That should at least draw their attention.

Can you tell who the lender is?

[bsrsharma]

there is nothing they can do

Have you told them that you can’t pay any more? That should at least draw their attention.

Can you tell who the lender is?

[bsrsharma]

there is nothing they can do

Have you told them that you can’t pay any more? That should at least draw their attention.

Can you tell who the lender is?

[bsrsharma]

there is nothing they can do

Have you told them that you can’t pay any more? That should at least draw their attention.

Can you tell who the lender is?

[ironman]

jonnycsd,

I certainly see (and partially agree) with your point and I am by no means defender of the banking institution …

If someone walks away from a loan , do you think he would be screwing the bank ? I do not think that he will be like Robin Hood , stealing from the rich and giving to the poor!

Either the government will pick the loss (all of us) or small bank investors (think 401Ks or other retirement funds)
In a nutshell , he will be screwing his fellow man !

Now , do I say make good on your loan at the expense of your children going hungry , hell NO, BUT I say that you should live a couple of years under your means and pay us much as you can !

If we agree that the society is footing his bill then it would only make sense to tap that common resource only if you have to and not to just preserve your way of life!

And I do apologize if are the first category

Ironman

[ironman]

jonnycsd,

I certainly see (and partially agree) with your point and I am by no means defender of the banking institution …

If someone walks away from a loan , do you think he would be screwing the bank ? I do not think that he will be like Robin Hood , stealing from the rich and giving to the poor!

Either the government will pick the loss (all of us) or small bank investors (think 401Ks or other retirement funds)
In a nutshell , he will be screwing his fellow man !

Now , do I say make good on your loan at the expense of your children going hungry , hell NO, BUT I say that you should live a couple of years under your means and pay us much as you can !

If we agree that the society is footing his bill then it would only make sense to tap that common resource only if you have to and not to just preserve your way of life!

And I do apologize if are the first category

Ironman

[ironman]

jonnycsd,

I certainly see (and partially agree) with your point and I am by no means defender of the banking institution …

If someone walks away from a loan , do you think he would be screwing the bank ? I do not think that he will be like Robin Hood , stealing from the rich and giving to the poor!

Either the government will pick the loss (all of us) or small bank investors (think 401Ks or other retirement funds)
In a nutshell , he will be screwing his fellow man !

Now , do I say make good on your loan at the expense of your children going hungry , hell NO, BUT I say that you should live a couple of years under your means and pay us much as you can !

If we agree that the society is footing his bill then it would only make sense to tap that common resource only if you have to and not to just preserve your way of life!

And I do apologize if are the first category

Ironman

[ironman]

jonnycsd,

I certainly see (and partially agree) with your point and I am by no means defender of the banking institution …

If someone walks away from a loan , do you think he would be screwing the bank ? I do not think that he will be like Robin Hood , stealing from the rich and giving to the poor!

Either the government will pick the loss (all of us) or small bank investors (think 401Ks or other retirement funds)
In a nutshell , he will be screwing his fellow man !

Now , do I say make good on your loan at the expense of your children going hungry , hell NO, BUT I say that you should live a couple of years under your means and pay us much as you can !

If we agree that the society is footing his bill then it would only make sense to tap that common resource only if you have to and not to just preserve your way of life!

And I do apologize if are the first category

Ironman

[ironman]

jonnycsd,

I certainly see (and partially agree) with your point and I am by no means defender of the banking institution …

If someone walks away from a loan , do you think he would be screwing the bank ? I do not think that he will be like Robin Hood , stealing from the rich and giving to the poor!

Either the government will pick the loss (all of us) or small bank investors (think 401Ks or other retirement funds)
In a nutshell , he will be screwing his fellow man !

Now , do I say make good on your loan at the expense of your children going hungry , hell NO, BUT I say that you should live a couple of years under your means and pay us much as you can !

If we agree that the society is footing his bill then it would only make sense to tap that common resource only if you have to and not to just preserve your way of life!

And I do apologize if are the first category

Ironman

[moneymaker]

Don’t feel sorry for the “banks” at all. I think there was a lot of mutual hand greasing going on in the broker business. What about PMI? second mortgages? I just hope the banks/companies are man enough to pay their taxes on all those repos they now are holding onto. I guess people like McCain have 5 years to not pay there taxes before it gets auctioned off. I am so glad my offers were never accepted, Hallelujah! I remember hearing from multiple real estate agents “oh just refinance after the reset” and I remember thinking at the time “yeh right” knowing full well interest rates could not stay down forever.

[moneymaker]

Don’t feel sorry for the “banks” at all. I think there was a lot of mutual hand greasing going on in the broker business. What about PMI? second mortgages? I just hope the banks/companies are man enough to pay their taxes on all those repos they now are holding onto. I guess people like McCain have 5 years to not pay there taxes before it gets auctioned off. I am so glad my offers were never accepted, Hallelujah! I remember hearing from multiple real estate agents “oh just refinance after the reset” and I remember thinking at the time “yeh right” knowing full well interest rates could not stay down forever.

[moneymaker]

Don’t feel sorry for the “banks” at all. I think there was a lot of mutual hand greasing going on in the broker business. What about PMI? second mortgages? I just hope the banks/companies are man enough to pay their taxes on all those repos they now are holding onto. I guess people like McCain have 5 years to not pay there taxes before it gets auctioned off. I am so glad my offers were never accepted, Hallelujah! I remember hearing from multiple real estate agents “oh just refinance after the reset” and I remember thinking at the time “yeh right” knowing full well interest rates could not stay down forever.

[moneymaker]

Don’t feel sorry for the “banks” at all. I think there was a lot of mutual hand greasing going on in the broker business. What about PMI? second mortgages? I just hope the banks/companies are man enough to pay their taxes on all those repos they now are holding onto. I guess people like McCain have 5 years to not pay there taxes before it gets auctioned off. I am so glad my offers were never accepted, Hallelujah! I remember hearing from multiple real estate agents “oh just refinance after the reset” and I remember thinking at the time “yeh right” knowing full well interest rates could not stay down forever.

[Author]

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