banks before the housing market crash: "you get a loan! and you get a loan! and you get a loan! and you get a loan! Go and buy a house! Don't worry we won't check your assets and trade your debt as if it's real guaranteed money!"
Banks after all those people declare bankruptcy and start a domino effect: "It was unforeseeable and no one is sure what could have possibly led to this but was probably regulations so if you would be just so kind as to let us do whatever we want..."
bobbyjs1984 on September 29th, 2018 at 03:49 UTC »
Back in 2011 my wife and I made about 90k a year together and were about 80k in debt with cars, student loans and credit cards. Still got pre-approved for a 300k home loan, yeah we spent about half that
foreverwasted on September 29th, 2018 at 02:33 UTC »
Seriously, I could use an ELI5 on what banks do with the money people deposit to be able to give out these loans.
Lugalzagesi712 on September 29th, 2018 at 03:06 UTC »
banks before the housing market crash: "you get a loan! and you get a loan! and you get a loan! and you get a loan! Go and buy a house! Don't worry we won't check your assets and trade your debt as if it's real guaranteed money!"
Banks after all those people declare bankruptcy and start a domino effect: "It was unforeseeable and no one is sure what could have possibly led to this but was probably regulations so if you would be just so kind as to let us do whatever we want..."
bobbyjs1984 on September 29th, 2018 at 03:49 UTC »
Back in 2011 my wife and I made about 90k a year together and were about 80k in debt with cars, student loans and credit cards. Still got pre-approved for a 300k home loan, yeah we spent about half that