Who is to blame for the subprime mortage mess which has effectlively locked up much of the global credit markets and pushed the US economy into recession. It is the banks. Period. If they had been responsible in their home lending practices, most of the thrashing of the economy could have been avoided.
Thus says Warren Buffett as he tours Europe like a king. According to Reuters "The banks exposed themselves too much, they took on too much risk …. It’s their fault. There’s no need to blame anyone else," he said.
Buffett may be right, because a number of companies like Countrywide Credit (CFC) gave mortgages to people who were able to buy homes for over $1 million on salaries of under $10,000.
Nonetheless, it is 20/20 hindsight. Where was Buffett when we needed him?
Douglas A. McIntyre
In 20 Years, I Haven’t Seen A Cash Back Card This Good
After two decades of reviewing financial products I haven’t seen anything like this. Credit card companies are at war, handing out free rewards and benefits to win the best customers.
A good cash back card can be worth thousands of dollars a year in free money, not to mention other perks like travel, insurance, and access to fancy lounges.
Our top pick today pays up to 5% cash back, a $200 bonus on top, and $0 annual fee. Click here to apply before they stop offering rewards this generous.
Flywheel Publishing has partnered with CardRatings for our coverage of credit card products. Flywheel Publishing and CardRatings may receive a commission from card issuers.
Thank you for reading! Have some feedback for us?
Contact the 24/7 Wall St. editorial team.
Latest from 24/7
Our expert who first called NVIDIA in 2009 is predicting 2025 will see a historic AI breakthrough.
You can follow him investing $500,000 of his own money on our top AI stocks for free.