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Technology is great when it works,
and one big pain in the ass when it doesn't.
Detroit iron rules all the rest are just toys.

[This message has been edited by aceman (edited 10-07-2007).]

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Technology is great when it works,
and one big pain in the ass when it doesn't.
Detroit iron rules all the rest are just toys.

quote Originally posted by aceman: PMI isn't there to bail out the homeowner with the mortgage. It's there for the bank to recoup some of the losses the idiot who couldn't pay his mortgage caused.

Right....

Again, brillient...
Recap

Merrill Lynch to Post 3Q Loss

NEW YORK (AP) - Investment bank Merrill Lynch & Co. said Friday that credit and mortgage woes will lead to a third-quarter loss of up to 50 cents per share.
The New York-based firm said it would take some $5 billion in write- downs.

In premarket trading, its shares dropped $1.08 to $73.70.

The bulk of the losses will come from marking down the value of collateralized debt obligations and subprime mortgages, which are home loans given to customers with poor credit history.

Rising delinquencies and defaults among mortgages, especially subprime loans, have led to the near disappearance of investors willing to buy the loans.

Without an investor market, the value of the loans decreases, leading to write-downs of portfolios.

Subprime mortgages are often used in CDOs—complex instruments that combine pieces of different kinds of debt—pushing their value lower as well.

Analysts polled by Thomson Financial, on average, forecast earnings of $1.24 per share for the quarter ending Sept. 30.

UBS to Post $690M 3Q Loss
ZURICH, Switzerland — UBS SA (UBS), the largest Swiss bank, said Monday it would post a pretax loss of up to $690 million in the third quarter mainly because of losses linked to the U.S. subprime mortgage crisis.

The losses will hit UBS's Investment Bank, but "our Global Wealth Management & Business Banking and Global Asset Management businesses continue to record good results," said a company statement.

The loss will result in the shedding of 1,500 jobs from the bank's work force of 80,000 people by the end of this year, Chief Executive Marcel Rohner said in a conference call.

He also said the bank was making changes in top management as a result of the losses, and that he would take over as investment banking chief, replacing Huw Jenkins, who will step down to become an adviser. Group Chief Financial Officer Clive Standish will retire, Rohner said.

"UBS operates on the principle that management is accountable to shareholders," he said. "These events have led to the management changes announced today."

"Following a write down of positions in fixed income, rates and currencies, mainly related to deteriorating conditions in the U.S. subprime residential mortgage market, UBS is likely to record an overall group pretax loss of between 600 million francs and 800 million francs ($515 million to $690 million) for the third quarter, ended Sept. 30," a bank statement said.

It said pretax profits for the first nine months of 2007 will be about $8.6 billion.

Rohner noted that when second quarter results were announced in August he said that UBS could expect a "very weak trading result in the Investment Bank" if turbulent conditions continue to prevail throughout the quarter.

"In fact, conditions remained turbulent, so we will make an overall pretax loss at group level for the quarter," he said.

UBS's share price dropped 3.8 percent to $51.79 in trading on the Zurich exchange.
Sovereign Bancorp expects to record charges
The bank cites mortgage-backed securities and credit market volatility as reason for third-quarter charges.

"the parent company of Sovereign Bank, warned Friday that it expects to record hefty charges in the third quarter due to the deterioration of mortgage-backed securities and credit market volatility."

Must not have bought PMI insurance.

Trapped by the mortgage meltdown
Tighter lending standards have put many home sellers, owners and buyers in a bind. Here's how to escape it.


Meet the Olivers: good credit and low risk. So why are they in danger of losing their home? How to get deep in mortgage trouble in one hard lesson

August foreclosures zoom
Sun Belt states catch up with Rust Belt states to lead mortgage delinquency rates, according to a monthly survey.

Subprime woes weigh on job outlook

Flippers fuel foreclosures
Real estate speculators drove prices up in some of the hottest markets during the boom. Now they're making foreclosures jump.

Subprime hit could top $100B
Housing slump could hurt consumer spending; Fed is moving to protect consumers from predatory mortgage lending

[This message has been edited by 84Bill (edited 10-07-2007).]