I was watching Dateline last night and they were going over the whole mortgage meltdown and talking about how all of these people were just pushing through fraudulent loan applications so they could earn commissions, and those were then bought up by wallstreet investors as being valid loans and then the billion / trillion dollar loans become worthless when welfare mom's can't pay their million dollar mortgage...

One thing I don't get, is why they haven't had any publicity about actively trying to put people in jail for this fraud. I think they can trace back alot of those falsified applications and give people jobs at the same time.

Secondly... Especially in california I don't see how somebody can commit to a mortgage when they know they don't make enough money. They had one lady on the show who was making $1,600 / month and while they did falsify her income on the loan apps... she should have realized right away that she couldn't be paying $2000+ per month for a mortgage.

They also had this other lady who they showed as having a negative income and a history of filing for bankruptcy but somehow had over a million dollars worth of mortgages, and she refused to take any responsibility... she was a victim somehow.

I think they need to investigate all the people who were falsifying these documents and give them stiff penalties. I think they also need to re-visit people who have already been evicted because of things like adjustable rate mortgages balooning and give them a home @ a standard fixed rate.