Quote:
Originally Posted by pocketkangaroo
No they didn't. Taxpayers bailed out all those losses. When you aren't allowed to fail, there is no risk.
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Really, every bank? Very broad and all encompassing response. I never said, after the fact, that the big banks weren't bailed out a couple years ago for what they had lost to that point. However, banks do lose on foreclosures. Some get/got bailed out later for those losses. Some don't. I have a local bank here that just foreclosed on 20 subdivision lots in a development I was building in a few years ago. The lots were selling for 45K each, now you can't give them away for 20K. The bank has those lots up for sale for 25K, they would be lucky to get 20K. They going to lose 100K's just on that one single example. Situations like that are happening all over the country. Those banks aren't going to get a check from the govt for the difference.
Just because the big banks got bailed out a couple years ago doesn't mean all of them did and doesn't mean that there hasn't been any foreclosures happening since they were bailed out.