Most people believed that the $ 787 Billion Stimulus Package would include some type of relief for people facing foreclosure. However the Package which passed the House and the Senate distinctly was missing any earmarked amount for such efforts.
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We now learn that the Obama administration has plans for an additional $ 75 billion dollar [...]

Why Banks Fail reported on credit cards back on October 30, 2008 in Credit Card Crisis — How we will feel it at home.
One of the concepts we wanted to be clear, is that all of the banking crisis issues we have been seeing, has mostly affected a subsector of the US economy, banks and [...]

An article posted on Boston Herald called Government steps up home loan help, states that the government is taking broad steps to help troubled homeowners avoid foreclosure.
The steps:
1. Mortgage servicers will cut interest rates
2. They will extend 30 year to 40 year loans (other changes designed to reduce payments)
3. Reduce payments to no more than [...]

China had announced their massive $586 billion bailout a few days ago. Â
Where will the money come from?  China’s net exports are up, but that doesn’t account for $586 billion worth of cash.
China has about $1 trillion of U.S. securities, including $541 billion in U.S. Treasurys, and $200 billion in agency securities. Â
China has had [...]

The history:

The F.A.Q.’s of Lehman and A.I.G. – Douglas W. Diamond and Anil K. Kashyap
Who needs a Bailout Bill: Federal Reserve bleeds out $410 Billion
AIG already spent $61 billion of the $85 billion
AIG officially asks for more money, $37.8 billion
AIG Borrows from government AGAIN! $20.9 billion now
Steal from Peter to pay Paul. AIG using Fed [...]

The NY Times published an article, Was There a Loan It Didn’t Like?.
The article goes into how one loan officer, was forced to put through very questionable loans.
If you came to this site to find out how or why a bank fails, this is definitely it.  Making banking a numbers game, where the numbers aren’t [...]

In an effort to find creative ways to deal with over $70 billion in bad mortgage loans JP Morgan Chase & Co has on its books, the banking giant has come up with a new plan to help its customers.  Its Loan modification program will go into effect over the next 90 days, and until [...]

Recently all the talk has been about high level economic terms: recession, bankruptcies, mergers, bailouts, derivatives.Â
The world is focusing on macro economic issues at the moment. How are macro economic issues created?  Micro economic activities.  The everday transactions that we make, all build up into the modern global economy.
The subprime crisis?  It was created on [...]

For anyone that has not seen it, this is the simplest explaintion of the mortgage melt down.
http://www.businesspundit.com/sub-prime/

Simplified history of what’s going on…
How we got into this money mess, by Glenn Beck
The author uses examples relating to all of us.  I never thought using “Tickle Me Elmo” would be an effective way to communicate subprime mortgages.