interestrateripoff Posted November 26, 2013 Share Posted November 26, 2013 http://www.foxbusiness.com/economy-policy/2013/11/26/new-wave-mortgage-trouble-on-horizon/ U.S. borrowers are increasingly missing payments on home equity lines of credit they took out during the housing bubble, a trend that could deal another blow to the country's biggest banks.The loans are a problem now because an increasing number are hitting their 10-year anniversary, at which point borrowers usually must start paying down the principal on the loans as well as the interest they had been paying all along. More than $221 billion of these loans at the largest banks will hit this mark over the next four years, about 40 percent of the home equity lines of credit now outstanding. For a typical consumer, that shift can translate to their monthly payment more than tripling, a particular burden for the subprime borrowers that often took out these loans. And payments will rise further when the Federal Reserve starts to hike rates, because the loans usually carry floating interest rates. Tick tock... Still I'm sure the US won't be bailing out it's banks again.... Quote Link to comment Share on other sites More sharing options...
cashinmattress Posted November 26, 2013 Share Posted November 26, 2013 Not really news for anybody frequenting this site though. Quote Link to comment Share on other sites More sharing options...
South Lorne Posted November 26, 2013 Share Posted November 26, 2013 http://www.foxbusiness.com/economy-policy/2013/11/26/new-wave-mortgage-trouble-on-horizon/ Tick tock... Still I'm sure the US won't be bailing out it's banks again.... ...so they were IR only for 10 years....morons ....this is a missell ..just like our lot ....what do they expect ... the brokers grabbed their commission ...has a 10 year safe fuse ...try getting that commission back now.... Quote Link to comment Share on other sites More sharing options...
The Masked Tulip Posted November 27, 2013 Share Posted November 27, 2013 All they need to do is to sell their houses to rich Chinese. Quote Link to comment Share on other sites More sharing options...
Recommended Posts
Join the conversation
You can post now and register later. If you have an account, sign in now to post with your account.