re: #576 Obdicut

I’m really not saying it was part of the overall issue, though. Some loans are always going to be defaulted on. CRA loans were defaulted on at a lower rate than comparable subprime loans. So I’m kind of saying the opposite.

The real, real, real trigger for the meltdown was the packaging and the swaps. Every single mortgage could have crashed and burned at once and it would have been bad, but it was only terrible fucking horrible because of the packaging and reselling— which has nothing to do with the original loans.

Hmmm…I guess I’m not following part of your point. If the MBS were based on the mortgages, and the CDS were “insuring’ the MBS packages, wouldn’t it follow that the trigger would be the default on the mortgages (and I’ll buy your point about defaulting at a lower rate than other subprimes - it’s the overall “subprime” concept that sucked for sure)?