Susie (and Everyone Else) Said So.
Susie Said So, Kenn Kweder
Via Susie Madrak, David Sirota speaks the truth about bankruptcy: “>WE TOLD YOU SO:
When in 2005 Congress overwhelmingly passed a bill written by the credit card industry to gut bankruptcy laws, progressives were right to try to stop it — and not just because it was an immoral move to legalize usury. We were right because, as the New York Federal Reserve Bank reports, the bill played an integral role in the recent foreclosure surge that crushed the economy.
In the past, bankruptcy laws made sure debtors first and foremost continued paying their mortgages so that they could stay in their homes. But the 2005 legislation effectively compels debtors to first pay off their credit cards, meaning many then have no money left to pay the mortgage. The Fed’s report estimates that the bankruptcy bill is causing 32,000 more foreclosures per quarter than the economy would have already generated.
We told you so.
Go read the rest. And in case you missed it, I told you so too.
